County and City of Sacramento Office of Emergency Services Encourages the Public to Call 2-1-1 for Swine Flu Information

Sacramento County Public Health is receiving hundreds of calls from concerned residents. The County and City of Sacramento encourage all residents to call 2-1-1
(or 1-800-500-4931) for all non-emergency questions and concerns about swine flu. Callers will speak with a live 2-1-1 representative who can answer questions and provide information about swine flu.
2-1-1 Sacramento is the region’s primary place for 24/7, free community health and disaster information. 2-1-1 Sacramento is working in partnership with the Sacramento Office of Emergency Services (OES) to provide current information about swine flu, especially in the Sacramento area.
If you are showing symptoms of illness and need non-emergency medical attention you should consult your physician.
Sacramento County Health Officer Dr. Glennah Trochet continues to recommend that you:
Stay at home when you are sick with flu-like illness which means a fever of 100.4 degrees or higher, experience achiness, a sore throat and/or cough;
Cover your cough or sneeze by using your sleeve or a tissue;
Wash your hands frequently to prevent spreading illness.
More information on swine flu can be found at www.scph.com.

Sacramento Define Swine Flu?

Swine Flu
Inquire about the availability of documents in alternate formats.
Swine Flu is a respiratory disease typically found in pigs. However, human Swine Flu cases can and do happen. Swine Flu has been detected in the United States, and locally in Sacramento County.
Use the following information to learn the symptoms, treatment and prevention of Swine Flu, as well as news about it’s occurrence locally and nationally.
Swine Flu and You – Description of the Swine Flu symptoms, treatment, and prevention from the Center for Disease Control
Swine Flu Information – Comprehensive resource from the State of California about Swine Flu.
Swine Flu in Sacramento County – Update from the Public Health Division
Swine Flu Investigation – National and international information from the Center for Disease Control
The County and City of Sacramento recommend you call 2-1-1 for general information about the swine flu. If you believe you have flu symptoms, please call your doctor, or 9-1-1 for a life threatening emergency. By calling 2-1-1 (or 1-800-550-4931) your questions will be answered by a representative who will have the latest public health information.

Click on the following link to gather more information on the highlighted links above:
http://www.sacramentoready.org/SAC_Sacready_DF_SwineFlu

Are You Prepared For An Emergency? Sacramento County

Visit the following link to download any of the highlighted links below: http://www.sacramentoready.org/default.htm

Sacramento Ready is a regional partnership of local government working to provide emergency preparation and response information to people in the Sacramento area.
Swine Flu
Swine Flu cases have been confirmed in Sacramento County. Find out about the symptoms, treatments, and prevention of swine flu, as well as information about where cases have occurred. Get details on the Swine Flu information web page.
If you have specific questions not answered by our resources online, you can get more information by calling 2-1-1 in the Sacramento region. Twitter users can sign up to receive periodic messages from Sacramento County's Public Health Division at www.Twitter.com/SacPublicHealth.
Be Prepared as the Seasons Change
The Sacramento region is warming into springtime weather, but we may still see showers in April and May. Get information about preparing your home for the upcoming seasonal change.
Prepare an emergency kit
Make a communication plan for your family
Plan together with neighbor helping neighbor
Prepare in advance – information for seniors and people with disabilities
Learn more emergency preparation tips in the Are You Prepared Guide.
Sacramento County Emergency Operations and Evacuation Plans
The Emergency Operation Plan provides you with information about how local officials will respond in the event of an emergency. As emergencies often cross jurisdictional lines, this report takes into account the many agencies within the region charged with guiding our operations, and offers valuable insight into the multi-pronged approach we would take to provide for your health and safety. Read the Sacramento County Emergency Operations Plan. (6MB)
In the event of an emergency that requires the County to evacuate citizens from an impacted to a safe area, there are agreed-upon strategies already in place to ensure the process is handled as smoothly as possible. This plan also takes into account the many people with special needs who might need additional support in an evacuation. Read the Sacramento County Evacuation Plan.

Modifying Loans Under the Affordable Home Modification Plan‏

This will only apply to the first mortgage on your primary residence.

To qualify, you must:
Have originated your mortgage before Jan. 1, 2009.
Be an owner-occupant.
Have an unpaid balance that is equal to or less than $729,750 (for a single-family home).
Have trouble paying your mortgage due to financial hardship. That could be because you have had an increase in your mortgage payments, or because your income was reduced or you suffered a hardship (like medical problems) that increased your bills, or, you can show that you soon will be unable to make your payments. You will be required to enter an affidavit of financial hardship.
Your monthly mortgage payment must also be more than 31% of your gross (pre-tax) monthly income.To seal the deal, you must successfully complete a three-month trial period at the modified rate. If you make all payments on time, you will keep this lower rate that will be fixed for five years.

What if I am About to be Foreclosed On?
The foreclosure process will stop while you’re being considered for the program (or for any alternative foreclosure prevention option).

What Will it Cost?
Under the program, the borrower does not have to pay any charges or fees. Any fees are supposed to be paid by the company that holds the loan, and the servicer of the loan will pay for your credit report.

Is There a Deadline?
New borrowers will be accepted until Dec. 31, 2012.
How Do I Start?
Gather these required loan modification documents and call your mortgage servicer (the company you make payments to). Your servicer is not required to join the program, but the government hopes that the incentives, along with the fact that this could help millions avoid defaulting on their mortgage, will motivate them to participate.


Home Affordable Modification Program Guidelines

FULL DETAILS CLICK THE FOLLOWING LINK PRINT & REVIEW:

http://www.ustreas.gov/press/releases/reports/modification_program_guidelines.pdf

Wisconsin State Tenant Protection Act help foreclosed owners stay in Home 90 days

The Wisconsin Economic Recovery Act, Act 2 was recently enacted, with an effective date of March 7, 2009. Sections 847 through 850 of Act 2 contain the Tenant Protection Act.
The Act requires that the plaintiff in a foreclosure action provide notice to tenants three different times during the foreclosure.
The first notice must be provided to tenants within five (5) days of filing the foreclosure action. The next notice must be provided within five (5) days of the Judgment Entry showing the redemption expiration date. The third notice is sent once notice of confirmation of hearing is scheduled. This is notice of the hearing date and time. All notices must be sent by Registered Mail or personal service.
The Act also gives a tenant the right to remain in a foreclosed property for ninety (90) days after the foreclosure process has concluded. There is a $250.00 penalty, plus attorney fees for noncompliance.

http://www.legis.wi.gov/2009/data/acts/09Act2.pdf

Click the link above to learn more about this law.

Reissuance of the Introduction of the Home Affordable Modification

This Announcement (09-05R) is a reissuance of Announcement 09-05, which was originally
issued on March 4, 2009. This Announcement provides additional policy clarification and
instruction and supersedes Announcement 09-05 in its entirety. Policy clarifications and
new instructions that are incorporated into this Announcement are identified by bold type.
(Other minor editorial changes are included in this document but not identified in bold.)
Background
On February 18, 2009, President Obama announced the Homeowner Affordability and Stability
Plan to help up to 7 to 9 million families restructure or refinance their mortgage loans to avoid
foreclosure. As part of this plan, the Treasury Department (Treasury) announced a national
modification program aimed at helping 3 to 4 million at-risk homeowners – both those who are
in default and those who are at imminent risk of default – by reducing monthly payments to
sustainable levels. Treasury issued uniform guidance for loan modifications across the mortgage
industry in Supplemental Directive 09-01 on April 6, 2009. This Announcement provides
guidance to Fannie Mae servicers for adoption and implementation of the Home Affordable
Modification Program (HMP) for Fannie Mae loans.
Under the HMP, servicers will use a uniform loan modification process to provide eligible
borrowers with sustainable monthly payments. The HMP implementation guidelines set forth in
this Announcement apply to all eligible one- to four-unit owner-occupied properties securing
Fannie Mae portfolio mortgage loans and MBS pool mortgage loans guaranteed by Fannie Mae.
The HMP will replace the Streamlined Modification Program introduced in Announcement 08-
33 and the Early Workout™ program announced in Announcement 08-31. The HMP will expire
on December 31, 2012.
All Fannie Mae-approved servicers must participate in the program for all eligible Fannie Mae
portfolio mortgage loans and MBS pool mortgage loans guaranteed by Fannie Mae.
Announcement 09-05R Page 2
Servicers may also elect to participate in the HMP for other qualifying mortgage loans that:
 are not subject to Fannie Mae’s credit loss guarantee, and
 are held by servicers in their own portfolios or are serviced for other portfolios or
securitization trusts or investors.
These other qualifying mortgage loans are referred to as Non-GSE Mortgages in this
Announcement.
As announced in Supplemental Directive 09-01, in order for a servicer to participate in the HMP
with respect to Non-GSE Mortgages, the servicer must execute a servicer participation
agreement and related documents with Fannie Mae in its capacity as financial agent for the
United States (as designated by Treasury).
This Announcement also introduces a new HomeSaver Forbearance™ foreclosure prevention
option and a new Fannie Mae loan workout hierarchy. The HomeSaver Forbearance provides an
additional foreclosure prevention option for borrowers who are NOT eligible for the HMP.
This Announcement covers the following topics:
 HMP Eligibility
 Underwriting
 Modification Process
 Servicer Delegation, Duties and Responsibilities
 Reporting Requirements
 Fees and Compensation
 FHA HOPE for Homeowners
 Compliance
 HomeSaver Forbearance
 New Workout Hierarchy
 Retirement of the Streamlined Modification Program (SMP) and the Early Workout Program

To read the entire document with detailed information please visit the link below:
https://www.efanniemae.com/sf/guides/ssg/annltrs/pdf/2009/0905.pdf

Freddie Mac Release a bulletin

Freddie Mac has issued the following Single Family Seller/Servicer Guide Update regarding Bulletin 2009-10
Today we issued Single-Family Seller/Servicer Guide Bulletin 2009-10, which announces important updates to requirements for the Home Affordable Modification program, including new criteria for determining whether a borrower is in imminent default, information and tools for Servicers to perform the required Net Present Value (NPV) test, and other changes to borrower eligibility and underwriting requirements.
Criteria for Determining Imminent Default
The Guide Bulletin provides criteria for determining whether a borrower who is current or less than 31days delinquent, and claims a hardship, is in imminent default. Using the process, requirements, and definitions outlined in our revised Guide Section C65.4, Servicers must consider the borrower for a modification under the Home Affordable Modification program if, after using the screening criteria outlined in this Guide section, the Servicer determines:
The borrower’s Debt Coverage Ratio is less than 1.20 and
The borrower’s cash reserves are less than three times the current monthly PITIA payment.
The Borrower Qualification Worksheet may be used to determine if a borrower, who is current or less than 31 days delinquent, is in imminent default. The updated Freddie Mac Borrower Qualification Worksheet will be available as a secure link on our Home Affordable Modification program Web page on Thursday, April 23. In addition, Freddie Mac is developing an automated solution to assist Servicers with the imminent default evaluation, and it will be available at a later date.
Net Present Value Calculations
All mortgages that meet Home Affordable Modification program criteria must be evaluated using the standardized NPV test that compares the NPV result for a modification to the NPV result for not modifying the mortgage. Today’s Bulletin and newly revised Guide Section C65.6 include detailed requirements for performing this test. These requirements include revisions for determining the amount of principal forbearance that may be permitted in order to achieve the Target Payment.
To assist Servicers, we are also introducing the Net Present Value (NPV) Calculator. The NPV Calculator is available on the Home Affordable Modification Servicer Web page. A user ID and password are required for access to the Servicer Web page. Servicers must complete and submit the HMP Registration Form to obtain a user ID and password.
Additional Updates
With today’s Bulletin, we are also announcing revisions and updates to these and other program requirements:
Revising requirements for verification of income when the Servicer uses stated income to create and send the borrower a Trial Period Plan, along with revising the income documentation requirements.
Revising the timeframe for when a borrower must respond to the Trial Period Plan offer package from 14 days to 30 days, and providing additional guidance if the borrower does not submit the required documents by the specified deadline.
Updating the definition of Interest Rate Cap.
Updating requirements for Servicers to continue to report “full-file” status reports to the four major credit repositories when borrowers enter the Trial Period, with criteria for borrowers who are current and borrowers who are delinquent when they enter the Trial Period.
Revising collateral valuation requirements used for the NPV test and for determining the mark-to-market LTV ratio.
Revising eligibility requirements to allow modifications of FHA, VA, and RHS mortgages, in accordance with guidance issued by the respective agency.
Revising documentation requirements for verifying that eligible mortgages are occupied primary residences.
Updating requirements for verifying installment debt and other expenses that must be included in the calculation of the borrower’s total monthly debt payment-to-income ratio.
Providing further guidance on the Servicer’s “Pay for Success” and Borrower’s “Pay for Performance” incentive fees.
Revising the Hardship Affidavit to now include a section for the collection of government monitoring data.
Adding requirements for reporting data to Fannie Mae in its capacity as Financial Agent.
Adding requirements provided by Freddie Mac, the Compliance Agent for the U.S Department of the Treasury.
Reminders
As a reminder, Servicers should continue to:
Suspend all foreclosure sales on owner-occupied properties for borrowers who may be or are eligible for a modification under the Home Affordable Modification program.
Report weekly Home Affordable Modification activity each Monday using the Program Performance Reporting Spreadsheet.

Please read the original bulletin: http://www.freddiemac.com/sell/guide/bulletins/pdf/bll0910.pdf

States had the highest foreclosure

Which states had the highest foreclosure rates in the first quarter?
1. Nevada: 1 in 27 homes
2. Arizona: 1 in 54 homes
3. California: 1 in 58 homes
4. Florida: 1 in 73 homes
5. Illinois: 1 in 135 homes
6. Michigan: 1 in 136 homes
7. Georgia: 1 in 138 homes
8. Idaho: 1 in 147 homes
9. Utah: 1 in 151 homes
10. Oregon: 1 in 153 homes

President Barack Obama's ambitious plan to rescue the housing market

At the heart of the President Barack Obama's ambitious plan to rescue the housing market is the conviction that restructuring distressed mortgages will keep struggling borrowers in their homes and help insert a floor beneath plummeting property values. With $75 billion dedicated to reworking troubled loans, that's a big bet—especially considering that a top banking regulator said last December that almost 53 percent of loans modified in the first quarter of 2008 went bad again within six months. But supporters argue that mortgage modifications need to be properly engineered to work—and many early ones weren't. To that end, the Obama administration on Wednesday unveiled fresh details on its plan to restructure at-risk loans and help as many as four million home owners avoid foreclosure. Here are seven things you need to know about Obama's loan modification program.
1. Payments, not prices: The plan centers on the belief that struggling borrowers will stay in their homes—even as values decline sharply—as long as they can make their monthly payments. Although not everyone agrees with this, billionaire investor Warren Buffett endorsed the philosophy in his most recent letter to shareholders. "Commentary about the current housing crisis often ignores the crucial fact that most foreclosures do not occur because a house is worth less than its mortgage (so-called “upside-down” loans)," Buffett wrote. "Rather, foreclosures take place because borrowers can’t pay the monthly payment that they agreed to pay."
2. Thirty-one percent: To that end, the administration's plan requires participating loan servicers to reduce monthly payments to no more than 38 percent of the borrower's gross monthly income. The government would then chip in to bring payments down further, to no more than 31 percent of the borrower's monthly income. In lowering the payment, the servicer would first reduce the interest rate to as low as 2 percent. If that's not enough to hit the 31 percent threshold, they would then extend the terms of the loan to up to 40 years. If that's still not enough, the servicer would forebear loan principal at no interest. The plan does not, however, require servicers to reduce mortgage principal, which Richard Green, the director of the Lusk Center for Real Estate at USC, considers a shortcoming. "For underwater loans, if you don't write down the balance to be less than the value of the house, people still have an incentive to default," Green says. "Writing down the principal first instead of last—which is what [the Obama administration is] proposing—makes sense to me."
3. Cash incentives: To encourage participation, servicers will be paid $1,000 for each modification and will get an additional $1,000 payout each year for as many as three years, as long as the borrower continues making payments. Borrowers, meanwhile, can get up to $1,000 knocked off the principal of their loan each year for as many as five years if they make their payments on time. Neither party can receive the cash incentives until the modified loan payments have been made for at least three months.
4. Financial hardship: The Obama administration is pitching its plan as an effort to help responsible homeowners ensnared in the historic housing slump and painful recession—not speculators. As such, only owner-occupied, primary residences with outstanding principal balances of up to $729,750 are eligible. Occupancy status will be verified through documents, such as the borrower's credit report. In addition, the program is designed to target homeowners who are undergoing "serious hardships"—such as a loss of income—which have put them at risk of default. To participate, borrowers will have to sign an affidavit of financial hardship and verify their income with documents. "If we would have had such stringent verification over the last four or five years, we probably wouldn't be in as bad a position as we are in," says Richard Moody, the chief economist at Mission Residential. But while Moody has no objection to such verification, obtaining documents from so many homeowners could be an onerous effort. "It's going to be a very time-consuming process," he says. Only loans originated on or before Jan. 1, 2009, are eligible, and modified payments will remain in place for five years. Now that the administration's plan is out, lenders are free to begin modifying loans.
5. Net present value: To determine if a particular mortgage will be modified, the servicer will perform a so-called net present value test. The test compares the expected cash flow that the loan would generate if it is modified with the expected cash flow it would generate if it isn't. If the modified loan is expected to produce more cash flow for the mortgage holder, the servicer is to restructure the loan.
6. Second liensThe Obama plan also addresses the issue of second liens—such as home equity loans or home equity lines of credit—by offering incentives to extinguish them. But key details on this component of the plan remained unclear.
7. Will it work? Moody argues that while the plan may reduce foreclosures for primary residences, it could lead to a spike in defaults for another group of homeowners. Although he supports the administration's efforts to focus the initiative on primary residences, Moody notes that "it could be the case that a lot of [real estate speculators] have been just hanging on waiting to see exactly what the details are of this [plan]," Moody says. Now that it's clear the Obama plan leaves speculators out, "we could actually see a spike in foreclosures or at least mortgage defaults among this group."

Freddie Mac has issued the following Single Family Seller/Servicer Guide Update

Freddie Mac has issued the following Single Family Seller/Servicer Guide Update regarding Bulletin 2009-9.
Today’s Single-Family Seller/Servicer Guide (Guide) Bulletin 2009-9, expands eligibility for the Freddie Mac Relief Refinance MortgageSM, making it easier for qualified borrowers to take advantage of this offering. Relief Refinance Mortgages are a key component of the administration’s Making Home Affordable Program and we are committed to supporting this national mandate by making Relief Refinance Mortgages available to as many qualified borrowers as possible. Today’s expanded eligibility will allow you to help more borrowers refinance into mortgages that position them for a successful and long-term homeownership experience.
With today’s Guide Bulletin, we are incorporating into the Guide the recently announced increase to our maximum loan limits as permitted under the American Recovery and Reinvestment Act of 2009 (ARRA). We are also announcing revisions to our requirements for super conforming mortgages that include the changes we previewed in our April 10 Single-Family Advisory e-mail.
It is important that you review today’s Guide Bulletin for detailed information on these changes.
Expanded Eligibility for Relief Refinance Mortgages
Today’s Guide Bulletin provides detailed information on updates to our requirements for Relief Refinance Mortgages. The following changes are effective immediately and include:
Clarifying that accrued interest through the payoff date may be included when paying off the mortgage being refinanced.
Permitting up to $250 cash back to the borrower.
Enabling the amortization term of the Relief Refinance Mortgage to be longer than the amortization term of the existing mortgage. For example, a 15-year fixed-rate mortgage may be refinanced as a 30-year fixed-rate Relief Refinance Mortgage.
Allowing second home and investment property mortgages that are now owner-occupied primary residences to be refinanced under the Relief Refinance Mortgage offering.
Permitting the transfer of property insurance from the mortgage being refinanced to the Relief Refinance Mortgage, if permitted by the insurance carrier, to alleviate the need for the borrower to prepay property insurance at settlement.
Additionally, when using Home Value Explorer® to determine property value, we are not requiring you to complete the “Year Built” and “Number of Bedrooms” fields on Form 11, Mortgage Submission Schedule and Form 13SF, Mortgage Submission Voucher.
Finally, we are reminding you that Relief Refinance Mortgages may not be sold to Freddie Mac through the selling system’s servicing-released process.
To view the online Bulletin in its entirety, please http://www.freddiemac.com/sell/guide/bulletins/pdf/bll099.pdf

Financially Stressed Taxpayers

California taxpayers facing income tax troubles are encouraged to contact the California Franchise Tax Board (FTB). An FTB specialist can review accounts and explain available programs that offer assistance. The FTB generally can grant relief from state tax liens within two weeks for financially distressed homeowners trying to sell or refinance their homes. When a home sells for less than the loan balance, FTB sometimes can remove its tax lien from the property to allow the homeowner to complete the sale. Tax liens typically must be paid before a real estate escrow can close. The tax lien remains in effect on any other property the taxpayer currently holds or later acquires.FTB also can help individuals who are refinancing or modifying an existing home loan if homeowners request that the new or modified loan have priority over the tax lien. This allows prior home loans to be refinanced or modified without first having to pay the lien.

Buying Time Against Foreclosure

Buying “T I M E”Never before has the expression “If I could just buy some time” meant so much to people. When you are facing foreclosure you need time to discover your options, analyze your situation and implement an action plan. Your most precious commodity is time…And it’s running out. When your money is running out… You don’t have time to wait for the trickle down effect of the stimulus package to make a difference in your personal situation. While the package will make a significant difference over the long haul for thousands of Americans, anyone who thinks it is going to quickly make a difference for EVERY American is kidding themselves. Facing reality is hard, but necessary. As a country, we have ignored hard truths with disastrous consequences for too long. Nothing will be gained by continuing to point fingers. However, we must immediately recognize that each of us has a role to play in correcting the serious housing problem we face as a country. (Even if your home is paid off, FREE and CLEAR). The housing market holds the key to stabilizing our country, so anything we can do to keep people in their homes is a step in the right direction.First thing’s first...DO NOT ABANDON YOUR HOME. Even when you are behind on your mortgage, no matter how far behind you are, DO NOT abandon your home until the entire legal process has been played out. You can stay in YOUR house until your right to possession has ended. Exactly when that time is will be determined by three (3) factors:1. Type of foreclosure in your state: judicial or non-judicial2. Whether you have a mortgage or a deed of trust3. State statutes regarding sheriff or trustee sale and possession timeframesFind out the answers to items 1, 2 and 3, and then abide by them. Make sure your lender abides by them as well. Things could improve while you are holding out. Hold on.Things are changing radically and very quickly because of the magnitude of the housing problem. Your local courts could dramatically change the way they process pending foreclosures so that you have a chance to work things out with the lender. Stay in our home and fight for the chance to work things out. More banks are willing to work with borrowers today simply because they really can’t manage the huge backlog of homes which have already been lost to foreclosure. If you can present a viable plan, your chances of retaining home ownership are pretty good.Second thing’s second… I know you know that, but I needed to get your attention. Probably the second most valuable thing anyone will ever tell you to do to save your home from foreclosure is to:1. Demand the lender or servicer who is threatening to sue you for foreclosure produce the original note/deed of trust which says you owe them. In legal terms you are asking them to demonstrate that they are the “real party of interest.” In common language that means, prove I owe you. Prove you have the right to demand payments from me. (This has been discussed on our blog, which can be found at homeownershipmatters.blogspot.com).2. The most effective way to demand this documentation is with a “qualified written request”. You are entitled to request that and any other information you want which is related to servicing on your loan (any mortgage loan in the United States) under federal RESPA regulations.What Choices do I have?Let’s consider the answer to that question. It is critical that you start with an honest inventory of your situation. How far behind are you? Do you have the resources to resume payments? If not now, when will you be able to do so? What do you want to do? What are you ABLE to do? Why should the bank consider your proposal? You’ll need to able to defend it as being reasonable, based on your current circumstances.Space in this article will not allow me to go into detail but I will provide you with the options you can consider. Do further research on each of them, online, in the library, on websites such as HomeOwnershipMatters.com Or at the blog: HomeOwnershipMatters.blogspot.com.a. Options to keep the house—special forbearance, loan modification or a partial claim. You need to learn what each of these means and how it worksb. Options to let the house go—short sale, assumption or deed-in-lieu. All of these options are better than foreclosure but you need to know exactly how they work to avoid creating yet another problem for yourself down the road.c. Reverse mortgage could be considered, it could be your solution. Be sure to use a government backed reverse mortgage if you decide to use this option.d. Receiving disability payments (if you have a claim pending) could make the difference. Hold on until you know what you will be receivinge. Acquiring a roommate could change your finances—get started working on it (I mean a roommate who will PAY—not one who will add to your expenses)f. Selling unnecessary items in order to cover the gap until you get a permanent solution. Ebay or Craigslist could bring in some immediate cash. (Stop crying—we are trying to save your home and Buy “T I M E”).g. Some other solution which has not even occurred to me“Answer” the summonsThe summons is your official notification that the lender has moved to legal action. The court notifies you via the “summons”. Your response should be to the clerk of the courts, the lender/servicer and their attorney. It is critical that your answer be received within the legally stipulated timeframe in your state. It is strongly recommended that the answer be sent by certified mail, with a signature required. This is a task which you can handle on your own, with a little coaching.Basically, an answer should acknowledge that you are aware of your situation and that you are working with the lender on a plan. Specify what that plan entails. If you are challenging whether or not the lender has the legal right to foreclose (due to failure to produce the original note or demonstrate that they are the “real party of interest”) this is your time to say so. The foreclosure is likely to be stalled based on the quality of a timely, well prepared “answer”.Local initiative is neededWe all have high expectations of the new administration but our President has said repeatedly, and has demonstrated with his grassroots campaign, that the masses can make a difference, when they choose to become involved. If every person who reads this article would share it with the people in your personal database, you would help several people to avoid foreclosure.If the leaders of organizations would share the articles and the link to the blog with your entire company, you might save not only their home but the home of some of their family members or friends. Driving people to the blog and website so that they can get practical, easy to understand information to help them with their personal choices could make a big difference. Anyone reading this who has the connections to have a workshop in your city or a program aired on Public Access or Government Access television or local radio show could reach thousands of folks with some concrete/self help which could make all the difference in your community. I am a teacher and a writer. I know the role I am to play. I ask each of you to find your role in helping our country get back on its feet. We must find some resolution to our housing problems. Mildred Wilkins, founder and president of Home Ownership Matters, LLC.

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C.A.R. launches mortgage protection plan for first-time home buyers

The CALIFORNIA ASSOCIATION OF REALTORS® (C.A.R.) today launched the C.A.R. Housing Affordability Fund Mortgage Protection Program (C.A.R.H.A.F. MPP), for first-time home buyers.Through the Housing Affordability Fund Mortgage Protection Program, first-time home buyers who lose their jobs due to layoffs may be eligible to receive $1,500 per month, for six months, to help make their mortgage payments. A qualified co-buyer also can participate in the program, and receive a monthly benefit of $750 per month for up to six months. Program benefits also include coverage for accidental disability and a $10,000 death benefit. C.A.R.’s Housing Affordability Fund is dedicating $1 million toward its Mortgage Protection Program, and estimates that as many as 3,000 families will benefit from the program this year. To qualify for the Mortgage Protection Program, applicants must:· Be a first-time home buyer – someone who has not owned a home in three or more years· Open escrow April 2, 2009, or later, and close on or before Dec. 31, 2009· Use a California REALTOR® in the transaction· Purchase the property in California· Be a W-2 employee (cannot be self-employed) To apply for the program, home buyers must request an application for the H.A.F. Mortgage Protection Program from their REALTOR®. This week’s Mortgage Update contains information about mortgage rates; mortgage refinancing and how to get the best refinancing deal.Mortgage rates drop to record lowRates on 30-year, fixed-rate mortgages averaged 4.85 percent for the week ending March 26, following an announcement by the Federal Reserve that it is launching a new effort to assist the U.S. housing market. The rate marked a record low in the history of the Freddie Mac survey. The previous low was 4.96 percent set during the week of Jan. 15.Get the best refinancing dealThe recent declines in interest rates on 30-year, fixed-rate mortgages have resulted in many homeowners seeking to refinance. Due to the large number of requests to refinance, some homeowners are experiencing difficulty in trying to reach their lender. According to Fannie Mae’s chief economist, it may take as long as three months for the mortgage industry to start working at full capacity. To ensure they receive the best refinancing deal possible, consumers should be patient and follow a few tips from industry experts: First, consumers should recognize there is opportunity for significant savings by refinancing. Rates currently are hovering around 4.6 percent, but historically hover around 8 percent. Second, homeowners should be aware that Fannie Mae and Freddie Mac have increased their fees, so borrowers could be paying extra fees of 1 percent or more of the total loan amount. To qualify for the best rates, most borrowers must have at least 20 percent equity in their homes and FICO scores of 720 or higher.