deb macmillan

Here’s the (my) Answer to WHY
Banks Make Such Crazy/Illogical/
Sometimes Stupid Decisions! (Part III)

Second:

This will be a little political but bear with me.  It (as most of
what I do and say) is based on data.  It’s drilled in me.  Data
shows what works and what doesn’t work.  It shows the bank
whether my offer is a good offer or not.

So here’s my scoop

You know/understand that

• Fannie
• Freddie
• HAFA
• HAMP
• FHA
• TARP

are all tied to the government, The Federal Government.  They took money from
the government and are now beholding to the government…even if they did
pay back all the money borrowed.  They are still getting benefits and probably
owe them things we don’t know about.  I know you do know that.
It’s just important that you remember that for my following reason.

Just recently, President Barack Obama appointed Dr. Don Berwick to the position of
Head of Medicare and Medicaid for the US Federal Government.  Obama
appointed him and skipped the Confirmation Process.  Dr. Berwick was just
appointed.  No opposition. No opportunity to discuss any opposition and for
those reading and feel I’m being biased, no opportunity for the positive side of
his life either and the good he has brought in the past and could bring to our
country in the future.

And now you are wondering “what does a new Medicare appointee, health
care division have to do with banks making stupid decisions and the real
estate business/market.”  Am I right?  Hang on and hold on.  I’m getting there.

In a speech Dr. Berwick made on July 1, 2008, at the NHS National Health Service
single payer health system in Great Britain, he said and I quote

“any health care funding plan that is just, equitable, civilized and humane must MUST
redistribute wealth from the richer among us to the poor and less fortunate.
Excellent health care is by definition redistributional”

He said this about Britain who has a 600% higher prostate cancer death
rate than the US.

He also talks about the current American Health Care system as “running
in the darkness of private enterprise.”  Is this how they might see the real
estate industry?  Redistribute the real estate to the poor and less fortunate
because they believe private enterprise can’t do it…without government
help?

Don’t take my word for it.  Here is the link  http://www.redstate.com/ben_domenech/2010/05/12/obama-nominee-donald-berwick%E2%80%99s-radical-agenda/

Last I remember to “redistribute wealth” was a communist belief.  And, yes,
he said this two years ago.  Yes, a leopard can change their spots.  Yes, yes, I
could be reading way too much into this, but what if I’m not?

What if this has been the plan all along

• to take over America s-l-o-w-l-y, one business at a time?
• And re-distribute wealth?

Small business are failing.  Ask a chiropractor, a doctor who
accepts Medicare patents, etc.  Look
at your local malls and count the empty stores.   Let’s see, they have

• General Motors, Chevrolet, Cadillac, Buick, GMC, etc.
• Chrysler, Jeep, Dodge, Ram, etc.
• The banks, Freddie, Fannie, FHA, all the defaulted notes are now owned
  by the government
• Land 20%+ of the US currently

The Government Wants To Own More Houses

Are they planning on “giving houses to government employees” or giving houses
to welfare?  They could do this…in exchange for their vote.

Did you know the government is “renting” houses to tenants when their
landlord’s rental property has been foreclosed?  The government is widening their
horizons.

Did you know the government owns 20-30% of the land of this country?

If we have to have the government approve everything,
we have lost our freedom.

If the government does own 1/2 of everything in the country, do we have the
ability to buy things?  Houses, businesses, land? or is our only choice
to work for the government and lose our freedom?

This would make more people go into foreclosure, less people to buy houses,
more houses in foreclosure to give to the poor and take from the rich.

If the banks have been instructed to take back as many houses that don’t met
the stringent criteria then the government will own even more houses.

Don’t get me wrong.  I pray I’m wrong.  I pray more and more people see what
is going on and their is still time to stop it.

I’d love to hear your comments.

We and my students are still closing short sales.  We are still doing
double closes.  We are still make $20,000 to $30,000+ on double
closes.  But not as often as we did because of some of the bank’s
restrictions and their silly decisions.

I will continue to do short sales.  We are helping homeowners.  We are
buying, selling, renting, houses and making money.  We are making profits!
We are just being more selective in the houses and banks we do work with.

I’ve got 3 scheduled to close in August that we will be making
$20,000 plus.  There are opportunities.  It is only over when we quit.

I’m not quitting and I won’t let you quit either.

Once you know the potholes, it is MUCH easier to go around
them.  This is exactly what we talk about and more on the
coaching calls.  Are you ready to sign up?

You don’t want to be working short sales without some insider
information.  Get it on my coaching calls.  Call NOW!
513-868-1275  ( I know it’s not an 800#.  Call it anyway!

Deb McMillan
The Short Sale Queen® and Coach
Get Started with Short Sales
Sign Up for Our Next Coaching Program Now
ShortSaleQueen

Here’s the (my) Answer to WHY
Banks Make Such Crazy/Illogical/
Sometimes Stupid Decisions! (Part II)

(Yes, that means there will be a Part 3!)

Why do banks make such illogical decisions?

• Like change the FHA ‘how long you have to be on the deed
  before you can resell it’ 90 day Seasoning rule.  They
  just changed it in February 2010 allowing you to resell the property
  after a 2nd appraisal.
• Like HAFA’s rules when you close a short sale insist you
  hold the property 90 days before you resell.
• Like banks taking their houses to foreclosure when the buyer is
  a Company.  (LLC, Corp, Etc.)
• Like banks not accepting offers from companies (LLC, Etc.)?
• Like take a house to foreclosure sale when there is a qualified
  offer on the table but it wasn’t submitted more than 21 days
  or 14 days before the sale date.  (Lazy?)
• Like Fannie wanting to start making homeowners who do
  a short sale responsible to pay the unpaid balance and
  not let those who walk away from their house when they really
  could afford the monthly payment to not get loans through Fannie
  for as long as 7 years.
• Like only give help to people who are way behind in payments
  and not to the struggling homeowner who is giving up lots to
  just keep making their mortgage payment and not have a life?

Ok, my answer probably won’t explain all of the above.  But it certainly
will explain the first 5.

First:

Their logic is not based on our logic.

Our logic believes they should do what they can to get rid of their inventory
not create more inventory.  Sell the house when there is a reasonable offer and
not devalue the neighborhood.  If there is an offer they should take it – within
reason, of course, so if there is data to say the offer is Fair Market Value,
they should take it.

Our logic believes this is a capitalist country/society and if we have
specialized knowledge to allow us to resell the house after repairs or
not and make a profit - we should.  If we find the somebody else who wants
to pay a little bit more and we can get it closed WHILE BREAKING NO LAWS,
we should get paid for that knowledge and skill.

It still is a capitalist society.  Not to defend the banks but…We/they are also run
by the Constitution where we still have the right to freedom of speech
so the banks do have the ability to make those decisions on

• who to sell it to and
• who not to sell it to

as long as they do not discriminate among the protected classes.

However, a good business decision (on a small business basis – not on a
large business because obviously they are too big to fail LOL) would seem
that they should take the offer and sell it to a buyer today to cut their losses.
Even if the buyer might make money when they resell it.  It’s not likely that the
bank will make that money later.

Here is the Likely Scenario

• The bank will take it back through foreclosure.
• It might not even be listed for sale for 1-2 years, and maybe 2 days
• It won’t sell for another 6-24 months and
• The possibility of the Fair Market Value continuing to drop

The house will bring even less money later than selling to
someone who will make a profit today.

The bank won’t make the profit we would because of time and
they don’t have our knowledge.

A logical decision would seem to be to cut their losses now, put somebody
in the house and the bank stop paying taxes, insurance, upkeep (cut grass,
winterize the pipes, worry about the pipes being stolen, etc.) and just making the value of the house less.

Or they will leave it in the defaulting homeowner’s name and make them
responsible for all of the above even it went to foreclosure.

Tomorrow I will answer WHY for a different reason than they are a capitalist
company and the right to make what appear to be stupid decisions and they
want the extra money but will never get it.

Sorry for the delay.  I had more to say that I thought I did.  However, this
scenario is a great one to run through the next time the bank gives you any
of these reasons why they can’t accept your short sale.  Ask them if theyrealize they will make less money if they don’t sell it today versus months in the
future.

Deb McMillan
The Short Sale Queen® and Coach
Get Started with Short Sales
Sign Up for Our Next Coaching Program Now
www.ShortSaleQueen.com

Why are the banks making such crazy decisions?

It depends on what side you are on as to whether they are bad or stupid.

But WHY:

• Did they change the FHA 90 Seasoning rule when they waived it just 150 days ago and allow you to resell after a 2nd appraisal?
• Does Fannie want to start going after the deficiency judgments and not let those who walk away and could really afford the monthly payment to not get loans for 7 years?
• Does HAFA’s new rules insist you hold the property 90 days before you resell?
• Only give help to people who are way behind in payments and not to the struggling homeowner who is giving up lots to just keep making their mortgage payment and not have a life?
• Do banks take their houses to foreclosure when the buyer is a Company?  (LLC, Corp, Etc.)
• Do banks not accept offers from companies (LLC, Etc.)?

I do have the answer.  I haven’t seen it anywhere else.  No other guru or short sale writer is talking about the answer.

I HAVE THE ANSWER!!!

And you don’t have to sign up for my coaching to get the answer…although….

You will have to log in tomorrow to this blog to find the answer!

Pass this on to your friends and enemies.  They will NOT LIKE the answer.

Deb McMillan
The Short Sale Queen® and Coach
Get Started with Short Sales
Sign Up for Our Next Coaching Program Now
www.ShortSaleQueen.com

www.theShortSaleTips.com www.BestShortSaleCourse.com

www.ShortSaleTerms.com www.MyShortSaleTraining.com

FHA rescinding the 90 day seasoning rule.

I’m trying to do a double close on an FHA loan.  I have
a mortgage broker who gets it and is willing and

HAPPY

to do them.

However, I missed the deadline!  As of June 28, FHA
will no long allow the 90 day seasoning rule.  No more
2 appraisals.

They are rescinding the 90 day seasoning rule.

They aren’t just making short sales hard to flip, they are
making real estate hard.  Do they not see the market
is in trouble and artificially inflated with the First Time Home
Buyer Credit?

And it will be even worse now that it is completely over
and people aren’t buying houses.

Real Estate is getting very frustrating but they are still
ways to make a difference.

You’ll need to be on my coaching calls to get the rest of the
story!

www.shortsalequeen.com

The Short Sale Queen® and Coach

Always looking for better, smarter ways to get short sales done better!

Best Real Estate Coaching Available

IT’S NOT TOO LATE TO SIGN UP FOR THE NEXT COACHING CLASS.  GO TO WWW.SHORTSALEQUEEN.COM NOW!

Got Work To Do In Houses
Built Before 1978?

Do IT NOW!  AND LEGALLY!

But HURRY!  The new lead law has been delayed
to take effect until October 1, 2010!

so…

Get that lead repair done now!

If you are going to sand, pressure wash or replace painted
surfaces in a 1-4 family that was built before 1978

you don’t have to be EPA certified or the owner-occupant
to do the work until October 1, 2010.

So get the work done now AND get EPA certified too so you
can still get the work done after October 1, 2010.

• Think this law is stupid?
• Refuse to get certified?
• Wait until you get fined and then think about it?

All dumb ideas!  The less who get certified will raise the
prices that get charged for doing the work from those who do
get certified.  Remember the law of SUPPLY AND DEMAND?

Less people who are certified and can’t do the work will
significantly raise the price for the people who are certified
and can do the work.

It’s only $250 to get certified.  Learn the EPA ways.

Did you know:

• If you work on houses built before 1978 and you aren’t certified
  you can be fined $37,500 per DAY?  (Yes, I wrote thirty seven
  thousand dollars!)
• If you see people who are working on houses built before 1978
  and they aren’t certified, you can be reported to the EPA?
• If they report you they get paid part of the $37,500?

Yes, I said Nazi Germany.  Tell on your parents and collect money.

Yes, this is still America.  The lawmakers…we don’t know where they are
from.

Did you also know:

• You most likely won’t win a case in court if you fight the fine.
• A house built between 1960 – 1978 has a 24% chance of having lead?
• A house built between 1940 – 1960 has a 69% chance of having lead?
• A house built before 1940  has a 87% chance of having lead?
• The amount of lead dust needed to call your house “with lead” is less than the amount of sweetener in one sweetener packet?

Seems crazy doesn’t it?

The point is:  If you have work to do, replace windows, do
plumbing, electric, roofing, siding, anything that’s going to disturb
more than a 6sq ft area if it’s inside the house or a 20 sqft. area
outside of the house DO IT NOW!

DO IT NOW!   DO IT NOW!   DO IT NOW!   DO IT NOW!

All of those disturb painted surfaces and can create lead dust and
you can still have un-certified people do those jobs for a less
expensive price until October 1, 2010.  You have 3 months left!

Deb McMillan

The Short Sale Queen® and Coach