Sunday, June 8, 2014
Tuesday, May 13, 2014
Monday, March 3, 2014
Tuesday, February 4, 2014
Important Information About Flood Insurance in Florida
One practice that Titan Home Lending has implemented since the recent legislative changes to flood insurance…
GET QUOTES FIRST BEFORE YOU WRITE A CONTRACT!!
I recently took an application for a buyer purchasing an 832
square foot home in Palm Harbor, Florida. Before we ordered the 203k inspection
and appraisal, I convinced the buyer to let me get insurance and flood quotes
for the home. We discovered the flood insurance was going to be $13,765 per
year for a $115,000 home. The mortgage on this home would have only been $929 per month, however, with the flood insurance added it made the payment completely unattainable for my buyer at $2,076 per month. Many home buyers apply with banks and credit unions, spend over $1000 and 60 days waiting only to find out the home is simply unaffordable for them.
Please make sure you take the proper steps to find out the entire payment upfront, so you are not disappointed in the long run. We now make it a practice to get home insurance and flood quotes
on every property during the prequalification stage so our buyers aren't blindsided with unexpected costs.
Please call me or email me if you want accurate information on how much
a home is going to cost you… (monthly payment and cash out of pocket).
Andy Wood
Titan Home Lending
727-410-9663
HUD Certified 203k Instructor
State Licensed for Continuing Education
20 Years Experience in FHA 203k Lending
Over 5000 203k’s Closed, Managed and Funded
Thursday, October 17, 2013
Municipality and Code Violation Liens may not need to be paid… When purchasing a Fannie Mae, Freddie Mac or Bank-Owned Property
The Supreme Court of
Florida (City of Palm Bay vs. Wells Fargo Bank N.A. No. SC11-830 Fla.2013) recently ruled that local municipality liens do not have priority over
the bank’s mortgage lien as the mortgage was recorded prior to the lien. While
the Supreme Court held that municipalities have the right to enact legislation
to collect and enforce such liens, “a municipality’s concurrent legislation
must not conflict with state law” (Thomas v. State 614 So. 2d 468,470
Fla. 1993). The State Law clearly prioritizes liens in the order of which they
were filed. When Fannie Mae, Freddie Mac or any other bank completes the
foreclosure process and is granted a warranty deed, the inferior liens are
considered “Null and Void”.
For the last four years, I
have seen Realtors and buyers pass over great properties at bargain prices
because of outstanding municipality and code liens. I have witnessed Fannie
Mae, Freddie Mac and other banks write checks for thousands of dollars paying
off these liens to get buyers closed. I have discovered many listing agents
cancelling contracts because they believe these liens will prevent a sale and
requiring a buyer to satisfy or pay the liens or re-list in search of a cash
buyer.
Earlier in 2013, I was
financing an FHA 203k Renovation Loan for a customer in Orlando and had come
across this situation. The closer was requesting the buyer sign a “Hold
Harmless” for the $30,850 worth liens on the property related to code
violations owned by Fannie Mae. Both the
buyer and our underwriter refused to close with the $30,850 in outstanding
liens. This is when we discovered that these liens may not be valid or
enforceable.
Just two weeks ago, an agent sent over a cancellation on Fannie Mae/REO property located in Miami with code violations and outstanding liens. I explained to the listing agent that I had recently discovered that these liens on foreclosed properties may be invalid and possibly removed with a few simple steps from the agent and title company, thus saving the deal for all parties involved.
Just two weeks ago, an agent sent over a cancellation on Fannie Mae/REO property located in Miami with code violations and outstanding liens. I explained to the listing agent that I had recently discovered that these liens on foreclosed properties may be invalid and possibly removed with a few simple steps from the agent and title company, thus saving the deal for all parties involved.
You can follow these simple steps to remove a code violation lien on a Bank-Owned/REO
Property:
1.
Ask the title
company for a list of all outstanding “Code Violations and Municipality Liens”
2.
The Listing Agent
for the property should assist with providing the contact information for the
Code Lien Supervisor for the local municipality.
3.
Ask the title
attorney to send a copy of the Supreme Court’s Decision (No. SC11-830) A copy
is located at www.FHA203k.org
4.
The title
attorney will advise that the purchaser is using an FHA 203k Renovation Loan to
correct all deficiencies after closing and request a “Release of Lien”. A copy
of the “Specification of Repairs” may be provided from the lender if needed.
5.
The Municipality
Lien supervisor may consult with their attorney but will ultimately provide a
“Release of Lien”
Over the last few months we have successfully closed these 203k Renovation Loans while saving Fannie Mae,
Freddie Mac and other banks thousands of dollars in unnecessary costs.
Over the last few months we have successfully closed these 203k Renovation Loans while saving Fannie Mae,
Freddie Mac and other banks thousands of dollars in unnecessary costs.
Andy Wood
Titan Home Lending
727-410-9663
5010 W Carmen St.
Tampa, FL 33609
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