Maryland Real Estate Consultant

Details of the loan modification program

Only loans where the cost of the foreclosure would be higher than the cost of modification will qualify.  The modification plan calls for the bank to reduce interest rates so that the monthly obligation is no more than 38% of a borrower's pre-tax income, and the government would then kick in money to bring payments down to 31% of income. 

Mortgage servicers (banks and mortgage companies) can also reduce the loan balance to achieve these affordability levels, and the government will share in the cost of the reduction, up to the amount the servicer would have received if it had reduced the interest rates. 

Please contact your bank. Do not ignore the problem,y ou might be able to get help.

More updates on the way.

Frank Harris

240-472-9008

This is a wonderful time to buy a home and you can get so much more for your money but we still need to be realistic with our expectations.

Use the following to chart to determine your monthly principal and interest payments at various interest rates for either a 15 or 30-year term. 

•1.  Find the appropriate interest rate from the chart above.

•2.  Look across the column to the appropriate term to determine your interest rate factor. 

•3.  Multiply the interest rate factor by your loan amount in $1,000s.

Add your monthly insurance premium and your property tax to your principal and interest to determine your total monthly payment.

I am providing this information as a guide. If you have any questions or concerns drop me a line at Frank@kw.com

Happy Home Shopping

Reasons to Purchase a Home

•1.   Quality of Life

•2.   Tax Deductibility of Mortgage Interest

•3.   Tax Deductibility of Property Taxes

•4.    Appreciation Potential

•5.    Deferred Gain and Capital Gain Treatment

•6.    Once in a Lifetime Exclusion

•7.    Principal Accumulation

•8.    Pride in Your Home

•9.     No Landlord

•10. Leverage (where else can you buy this size of an investment with 5-10% down)

•11. The Real Cost of Renting (At $700 per month, with a 6% rental increase per year, you will pay $110,719 over a 10 year period.)

Also don't forget you can get some great deals on home . Prices will not be depressed for long. Many people are going to say I should have bought a home in 2008/2009 now that the same homes are selling for much much more.

 As a licensed real estate professional I provide much more than the service of helping you find your ideal home.  Realtors are expert negotiators with other agents, seasoned financial advisers with clients, and superb navigators around the local neighborhood.  They are members of the National Association of Realtors (NAR) and must abide by a Code of Ethics and Standards of Practiceenforced by the NAR.  A professional  is your best resource when buying your home.

 Let Me be Your Guide -

 I can save you endless amounts of time, money, and frustration.

•   As a knowledgeable Realtor I know the housing market inside and out and can help you avoid the "wild goose chase."

•   As a knowledgeable Realtor I can help you with any home, even if it is listed elsewhere or if it is being sold directly by the owner.

•   As a knowledgeable Realtor I know the best lenders in the area and can help you understand the importance of being pre-qualified for a mortgage.  I can also discuss down payments, closing costs, and monthly payment options that suit you.

•   As a knowledgeable Realtor, I am an excellent source for both general and specific information about the community such as schools, churches, shopping, and transportation - - plus tips on home inspections and pricing.

•   A knowledgeable Realtor I am experienced at presenting your offer to the homeowner and can help you through the process of negotiating the best price.  We bring objectivity to the buying transaction, and we can point out the advantages and the disadvantages of a particular property.

 And the best thing about me as your Realtor is that all this help normally won't cost you a cent.  Generally, the seller pays the commission to the Realtor®. 

Do not hesitate to shoot me an e-mail or give me a call, if you ever have any questions about buying or selling a home.

I was just recently asked what is Keller Williams all about?

So I have decided to post a little info about KW and why we are unique.

Often, we judge the caliber of people by the company they keep - this is why I would like to tell you a little bit about Keller Williams Realty and my office within the Keller Williams system.

Keller Williams® Realty was founded in Austin, Texas in 1983 with the specific premise that buyers and sellers deserve the best service for their real estate needs. For more than 17 years that founding premise has been a major factor in the continued growth of Keller Williams® across North America.  Two visionaries lead Keller Williams® Realty - Gary Keller, founder and Chairman of the Board, and Mo Anderson, Chief Executive Officer.

Because each Keller Williams® Market Center has grown within its respective community, Keller Williams® real estate agents have intimate knowledge of each community's character, mood, and growth potential. Due to the fact that the majority of Keller Williams® Associates live in the communities and neighborhoods they serve, they are eager and capable of tackling unique challenges that families encounter when selecting new homes.

At Keller Williams® Realty, we are Real Estate Consultants.  We are not agents.  We are not salespeople.  What this means is that we build fiduciary relationships with our clients.  A fiduciary is someone who represents your best interests.

We are a profit sharing company where associates are in partnership relationships with the owners; this means that everyone at Keller Williams® Realty wants your home to sell because everyone benefits. 

The Keller Williams culture is based upon a belief system that is summed up by this acronym: WI4C2TS:

Win-Win,              or no deal

Integrity,                do the right thing

Commitment,        in all things

Communication,    seek first to understand

Creativity,             ideas before results

Customers,           always come first

Teamwork,            together everyone achieves more

Trust,                    begins with honesty

Success,                results through people

Well there you have it in a nutshell.

A little mercy for the holidays,

Mortgage finance companies Fannie Mae and Freddie Mac are suspending foreclosures during the holiday season.

The two companies say they will halt foreclosure sales between Nov. 26 and Jan. 9, while they evaluate whether borrowers qualify for a new loan modification program.

Fannie and Freddie's loan modification plan aims to help slow down the foreclosure crisis by aiding homeowners who have fallen at least three months behind on their payments, but only if their loans are held by the two companies.

Under the program, the new primary mortgage payments including taxes and insurance shouldn't total more than 38 percent of homeowners' pretax monthly income.

I am also keeping a sharp eye on the bailout situation. I will post additional information as it becomes available.

Did you know, Prince Georges County provides a special exemption from local transfer tax to police officers and sheriffs who are first time homebuyers There is also a reduction in the local transfer tax for teachers (1% of the purchase price rather than 1.4%). 

The stipulation for both, is that the purchaser must live in the property for three years following settlement as their principal residence and must continue their employment for three consecutive years following the purchase.  If the purchaser moves from the property or ceases their employment during the three years following the purchase they may be required to repay the discount or exemption. 

For more information call Frank Harris 240-472-9008