Issue 5 for Ohioans Financial Freedom thru Choice

Dear Ohioans:
(Everbody else, this could be coming to your state next!)

Have you read, I mean really read, Issue 5 to be on the ballot in Ohio on November 4th?

Here we are real estate investors, trying to find buyers, realizing credit is tightening, trying to keep the government out of our business and Issue 5 wants the State level to keep track of borrowers of short term loans, ss#, and the number of short term loans we get per year. Next it could be long term loans.

The Government, the politicians, the law makers just keep chipping away at our ability to make our own decisions and chipping away at our rights. It will only stop when we let them roll over us.

I have always told my tenants to not use "rent a centers". They will pay much more for a stove, refrigerator, washer or dryer than they would ever pay for it in a store or on a credit card. This is another option of free enterprise and charging more for a service than necessary. But people need the commodity they sell. And they do have a choice. And isn't that what American has always been about? Capitalism and choices?

And now they want to pass a law allowing us to limit our use of check cashing stores. What happened to capitalism? Free enterprise? Isn't it the right of the people to make a decision? Good or Bad? And then pay the consciences? (Ya, I know. Then there was the Bail Out)

Education is good. Manditory education on a financial literacy course is a little different. Why don't they teach this in schools?

• How to balance your check book.
• How to create a budget
• How to stick to that budget.
• How income should be MORE than expenses.

I'm voting NO on Issue 5. I want to:

1. Keep my personal information out of yet another Government database
2. Make my own financial decisions
3. Protect good paying jobs with benefits (voting Yes will put 6000 neighbors out of work)
4. keep 1600 lenders with jobs
5. Preserve my choice of lending options

Read BEFORE you vote!

http://www.ohioans4financialfreedom.com/

Deb This is an unpaid political comment McMillan

The Short Sale Queen

PS The elections will be over soon and my new membership site will be up. Hang in there. I'll be back to website updates, short sales and changes in the market place soon!

Did I mention I've closed 3 short sale deals in the last 2 weeks? :)

Don't believe YOU can't make a difference-YOU CAN

I hate double negatives too. I'm never quite sure what they are trying to say. However, Don't believe this one. One person CAN make a difference. Only if you go to the polls and vote. Let your opinion be counted.

The news reports are saying the election is all sewn up. No need to vote because one party has already won.

Not true. It will be true if you don't cast your vote. Take the time to find out the facts. You will find it within yourself to make a good decision.

You can/will/do make a difference. Be the American you know you are and can be. It only takes one vote to change the tide. Go to the poles and let your opinion be counted.

Are we ready to "spread the wealth around?"

I believe my readers have always been special. Willing to give up Friday night beer drinking parties, give up sitting around all week long watching TV and drinking - being a couch potato. You are different.

We are the ones making the extra money to provide something a little better for our families. To be willing to go out and get something better, learn a little more, take the extra step, extra education and put it to use to better our lives. Not be mandated by the government to pay for financial literacy courses - that's Issue 5 in Ohio and more on that later. We have been making our own financial decisions.

And even if some of us did go into foreclosure, we are only a loser when we give up. Try, try and try again. My mom told me that. And that's exactly what Thomas Edison did when invented the light bulb and the thousand other things he discovered while trying to get electricity.

Those who don't take the extra step, extra education, go the extra mile don't deserve more.

But the Democratic party says take from the "haves" and give to the "have nots". Socialism, call it what you will (and what it is today will be different than what it might be called tomorrow, maybe communism) is taking from the people who are giving the something extra to better their families to give to the couch potatoes who aren't willing to get up and get more for themselves.

This new democratic party will be taking more taxes from the middle class and everybody...no matter what they say now...and giving it to those who make less. Very scary.

I don't want the government's money. I want the kick in the pants from myself, from my coach, even my significant other to make more money when we need something else than to expect someone to give it to me.

We are independent. We should not be dependent on the government.

There was a poll this weekend. 44% of the people believed in spreading the wealth around. 40% of the population don't pay taxes so only 4 where wanting the government help.

Keep watching. I will be coming out with a new Short Sale Queen membership site. What's on the agenda first?

The Declaration of Financial Independence. When in the course of investor events....

http://www.shortsalequeen.com/

Stay turned. thanks for reading. And go vote!

Deb McMillan
The Short Sale Queen

What Have We done Now?

Well the 700 Billion dollar Bailout has passed. The stocks are down. Oh! The stocks are up. The world banks are collasping too. And now they are talking about Nationalizing the banks to save it. And give even more money.

Where are they going to get that money? Oh, print more. And raise taxes.

Nationalizing the banks means Socializing the banks. The banks own industry, commerce, we become a socialized country. That means an underground to be a capitalist.

We gave Henry Paulsen the authority to do just about anything he wants with that money.

What is the answer? Vote next month. Vote for anyone whose record has shown that have voted to NOT raise taxes in the past. Otherwise, all taxes will increase. Not just the upper class.

• Gas Taxes will increase - hits everybody
• Corporation taxes increase - hits everybody (because Corps will raise their prices on their products they sell to everybody, milk, bread, boats, cigarettes, drugs, etc.)
• All other taxes will increase to pay for health care for everyone

Health care and education are not a right. But both candidates will take tax money to pay for it.

How does all this affect short sales, which really in my topic. No freed up credit will allow no one to buy our houses. Business won't be as usual.

If only someone would look at changing the 90 day seasoning rule.

PreForeclosures and The Government.

PreForeclosures and The Government. Help or Hinder?
or
Is the Bail-Out Really going to Bail Us Out?

We certainly hope it will make a difference. There are lots of doubts. And whose to say that with the same people overseeing the new money that was overseeing the money before (which is why we got into this problem) the same thing won't happen.

Money would go to congressional, legislative and presidential candidates for their campaign fund.
Bad governmental policy is what got us here.

• allowing anybody to get a loan whether their creditqualified or not
• allowing the banks to give their reserves to congress in the form of campaign contributions (Obama was #3on the list for receiving the most in money from Fannie Mae)

http://www.opensecrets.org/news/2008/09/update-fannie-mae-and-freddie.html
http://www.opensecrets.org/news/2008/07/top-senate-recipients-of-fanni.html

More Buyers, More Lending

It could give banks the money they need, clear off the bad debt and let there be buyers. Peoplewho can get a loan and buy our houses after we get "shorter" short sale. (I have to say I didn't create that phrase. Nathan Embry did. But I really like it and I'm using it. I think it describes exactly what we can do in this market. And it will only get better or shorter :) )

And we should be able to get a shorter short sale. The banks want these houses off their books. The government will feel the same when they get them. They will be overwhelmed.

I believe the same banks will service them. They can't afford to train thousands of new loss mitigators to re-work loans and short sales. There will just be new guidelines. And, like always, and the way business is in Corporate America, if the new guidelines don't provide the desired results, they will change the guidelines.

How do I know this? What I do know is Fannie Mae called Countrywide on Friday September 26th. They said and I repeat "if a rebuttal BPO comes in, split the difference and accept the price".

Is that something good to know?

Did you hear what they said? Submit a rebuttal BPO!!!!!!Usually submitting a lower bpo that the realtor isn't difficult. I'm not saying lie. I'm saying don't lie! The property values today are decreasing (depreciating) just about everywhere. You will 99% of the time be able to find lower value properties.

Easy! Think outside of the box!

Use houses that are distressed...have already gone to foreclosure sale. Let the bank know. The bank is looking for something in writing to confirm their sale price. They don't want to be seen as only giving friends good prices. (The loss mitigators don't want to make the news headlines like the CEO's etc. are) They must have data. And now they will accept it.

Stay tuned right here. The www.shortsalequeen.com to get monthly coaching and all the updates you'll need to get your deals closed in these new "shorter" short sale times!

Deb McMillan
Believe in Your Own Success!

Fannie, Freddie and Pre Foreclosures

What changes will be made at Fannie and Freddie, the 2 biggest mortgage companies in the country, and will they affect Pre-Foreclosure?

I doubt the pre foreclosure short sale process will be changed anytime soon. There is too much more to do to keep the giants running now and the goal is to get them to be running profitably first. I doubt they are looking at how to recapture a profit in the repossessed properties for quite while.

I also don't believe it has a chance in heaven of being solved in two months before the current presidency or Congress changes. So...what's next?

In the paper today it was discussed the 3 possible ways to save/restructure Fannie/Freddie. As I read the options, it will be a battle.

• One way to "save" them (and that's an oxymoron with this particular path) is wait until they "right" themselves (remember the only way to right them at this point was with yours and my taxes dollars gushing in to back them - billions of dollars if you remember) and return them to the way they were (when we had to give tax dollars to save them) before now - conservatorship (let the government run them- which is exactly who is running them when they were run into the ground) and add safeguards to prevent another crisis - huh!
  

Yes, I'm sure they would like that way. These Congress people long defended Freddie and Fannie in their current state because they did provide more affordable housing. Affordable housing for the lower income people who, due to Congress voting to give people loans when they have:

• no down payment,
• no way of saving for one,
• have a low credit score and
• no talents, skills or money to ensure repairs where made to the house,

able to buy a house anyway.

Isn't that law one of the main contributors to the foreclosure crises to begin with?

I also heard on radio talk show this week that 16 of 25 supports of Fannie and Freddie to keep the status quo were democrats getting BIG payouts (err campaign contributions) from these organizations. ..over the last 20 years.

That's like "thank you for your support, here's $500,000 for your campaign." Yes, I'd hate for it to change if I was making that kind of money for just voting YES.

• A second option was to made by Sr. officials at the Treasury Department to shrink the companies and turn them into private utilities. This would make their profits and activities tightly regulated and their large investment portfolios reduced.
  

Seems to me though I remember utilities having plenty of scandals of their own and losing money. Maybe they just have less scandals. And aren't they still regulated by the government? Isn't the government overseeing Fannie and Freddie the problem?

• The third option - and I'm saving my personal favorite for last - is to privatize it. Let the government taxes bail it out (it already has) and let it right itself. Break it into small private companies and let them sell stock. Be pubic. Make a profit. And if or when they get into trouble the next time, the Federal Government has NO business to bail them out. They sink or swim.

Sometimes it seems we have to remind the government leaders we are not a socialist country. We are CAPITALISTS. Say it again, and repeat after me: we are capitalists. We make choices to invest our money. Sometimes we make a lot more money. Sometimes we break even. Sometimes we lose our shirts. But it is our choice and we don't expect the government to bail us out. We invest money we can afford to lose. And if we lose, we learn something to do better the next time. That's capitalism.

Obvioulsy, I vote for #3. Right now while Freddie and Fannie are in conservatorship , Freddie and Fannie are being run by the exact same people who got it in the position it is in right now. How scary is that?

Pre Foreclosure Changes w/Freddie and Fannie?

This week the government should be taking over Freddie Mac and Fannie Mae the already government backed mortgage lenders.

Now there are more questions than actual information about how Freddie and Fannie will change or if they will. Apparently, the leaders overstated the company's capital resources and financial stability.

Meaning they are no longer stable and have no capital reserves to bail themselves out if/when things go south or expenses go up and income goes down...which is what is happening now.

About 5 years ago, Freddie's Executive Officers manipuated the books by about $6 Billion and apparently that is happening again. And the current top executives are being pushed out too.

It's believed that
1. the cost of borrowing money from Freddie or Fannie will decrease
2. They will continue to buy and sell home loans
3. home prices will not stop falling
4. Foreclosures will continue to rise

While foreclosures continuing is a bad things for the homeowners, the economy and the tax payers (us) who are bailing out Freddie Mac and Fannie Mae again, it is the time to buy real estate and do close short sales.

With any hope Freddie and Fannie's new leader will understand discount and selling houses fast. Do you think we have a chance?

I'll b keeping my eye on this and working directly with banks. Anything new to help us, I'll let you know!

Deb McMillan
Short Sale Queen

PreForeclosures Will Be Even harder To Close if....

Obama makes it to President. He Wants us to give him our lives and our decisions. Obama supported the Washington, D.C. gun ban - until he flip-flopped his position after the Supreme Court ruled against it.

• He has pledged to raise taxes.
• He wants the government to control our health care.
• He is beholden to, and shares the same views, of the radical Left and environmental extremists that continually assault our property rights and who oppose developing a small portion of the Arctic National Wildlife Refuge (ANWR), oppose building nuclear power plants, and oppose developing domestic coal and oil shale deposits.
• He supported a moratorium on offshore drilling - until he changed his position (once over 70% of Americans supported lifting it).

A vote for Obama is a vote for government-mandated redistribution of wealth. (from http://www.governmentpirates.com/)

Is this scary?

My big concern is since we have given up prayer in schools, the 10 commandments in the court houses, pray at sports games, we are ripe for the picking to kick out Christanity and become a Muslum country. Does that scare anybody? Then the Islamic extremist will be able to move right in and come out of hiding and be like Detroit - hear the minerets 5 times a day - praising Allah.

You may have hated Bush, you may think McCain is no good, but Obama seems to be exactly what and why our forefathers left England and came to the New World years ago.

• To gain property rights,
• Not have "the religon of the day stuffed down our throats",
• Leave the tyranny of the ruler behind and
• Have the ability to govern ourselves.

We have these things now. Although we give them up a little bit with each law that is passed. With Obama, they may go quickly. Our Congress isn't strong enough to vote against him on all the laws he may pass. And those guys are pretty liberal themselves so they may just vote with him.

It goes back to the old saying "Power Corrupts" "Absolute Power Corrupts Absolutely" and

"All that is necessary for the triumph of evil is that good men do nothing."

I know I said I wasn't going to talk politics and I only did on how it will affect real estate. Well, sorta.

To learn more about buying in depressed econmy and before we have to fight to keep our property go to www.shortsalequeen.com and keep your eye on the membership site coming soon!

OK, I don't like to be political but as a real estate investor this seems to be a no brainer. Who are you going to vote for"

John McCain says “The need to protect private property rights - once so obvious to Madison and Adams - is now becoming lost in a tangle of intrusive government takings. Nowhere has this been truer than in (that) disastrous decision," Kelo v. New London, Connecticut Supreme Court ruling allowing cities to use its powers of eminent domain to seize homes and businesses to benefit developers and generate more tax revenue.

McCain strenuously opposed the disastrous Kelo v. New London and has vowed to support a constitutional amendment to protect private property rights and recognizes that “property is the fruit of one’s labor. Property rights protection means that the individual reaps the rewards from the sweat of his brow, not the government or those who control the government.” He even has a petition on his Web site in support of property rights. (infor from www.governmentpirates.com)

Yeah! for McCain. He's got my vote.

We are losing many other rights as a new candidate takes office. If this guy says he'll vote FOR property rights, it's not a sure thing he will. He is just like the others, liable to change his mind as the wind changes. However, Saying it now gives him a much better chance of saying yes later!

For ways to buy property at deep disounts go back to www.shortsalequeen.com Sign up to for the up coming membership site for short sales. Keep watching!

Deb the Short Sale Queen!
Long Live the Queen! and become a member of the Queen's Round Table

FHA 90 Day Seasoning in Wholesaling Pre Foreclosures

FHA 90 Seasoning and Pre Foreclosure

Yes, about 2 months ago President Bush and Federal Housing Commissioner Brian Montgomery of the FHA passed a law to waive the 90-day seasoning rule for 1 year we thought would help closing house purchases in pre foreclosure wholesale short sales faster.

Seasoning and Investor Pre Foreclosure Wholesale Short Sale Purchases
If it included pre foreclosure wholesale short sales, I sure haven’t seen it yet. The government, surprise, surprise is working for the banks. They want the banks to be able to close their REO properties quickly (like they do anything quick) and be able to get their negative asset houses off of their books and save neighborhoods.

The government or banks or legislators still don’t believe the investors who do create win-win deals for the banks and sellers, make money for themselves, save neighborhoods, slow the amount of vacant boarded up buildings need a little help to close those deals. Last time I checked we were still a Capitalist country and making a profit was a good thing to do. And isn’t that why banks are closing their doors - because they aren’t making a profit? The new regulations they continue to mount against investors is staggering.

I thought for a few short moments that the new law would help us - the investor. Allow us to close deals without 90 seasoning. So I gave it a try. I was stopped in my tracks. It is still up to the end lender and FHA won’t close without the previous seller being on the Deed for a minimum of 90 days or more.

Creative Law Abiding Seasoning and Pre Foreclosure Wholesale Solutions
Investors have had to find creative ways to get around the legislation written in the past. We are continuing to do that now.

I have had one deal stopped from not having seasoning. Fortunately, I had contingencies in my offer that allowed me to get out of the deal if the 90 days still affected pre foreclosure wholesale short sale closing. And I’ve somewhat solved the problem in other ways too. OK, not solve but get around it and make it work…for now.

I immediately changed the way I accepted buyers. If I haven’t recorded a deed and I only have an Option to Purchase on the property, I don’t accept FHA loans to buy the house. If you are listing it in the MLS, you can make a note of it there too.

Yes, I’m missing out on some buyers. Because right now, FHA is just about the only lender accepting anybody with a low credit score. On the other hand, if they want the house bad enough and they can, they will get approved for Conventional or even VA financing.

Get the Deed in SeasoningToo
And the pre foreclosure houses that I’m short saling and wholesaling and we aren’t close to closing, we are getting the deed. We are recording it early (of course) and getting the option to purchase then moving forward.

We are in the process of closing these deals. The hiccups we’ve had so far we've been able to be overcome. I’ll keep you up to date of how we do get around any more and what you’ll need to do to get your pre foreclosure wholesale short sales closed smoothly and easily!

And now I invite you to learn other tips when working on your short sales by getting this free report www.shortsalequeen.com/free-special-short-sale-profits-report.htm