Good advice about partner's bankruptcy

Bankrate.com's bankruptcy adviser has a timely article on the effect of your partner's bankruptcy.

Dear Bankruptcy Adviser,
I am going to marry someone who has filed bankruptcy. He gave up his house as part of the bankruptcy and came to live with me. His bankruptcy has since been discharged. My house is all paid for, and I have no debts other than a car loan, which I can easily cover. I have an excellent credit rating and have never gotten into difficulties financially. Will there be any problems for me once we are married?

Excellent question, I think.  Here's more,

It's smart to be concerned that your positive financial credit history could be affected by his negative one. I would suggest not putting him on any of your accounts for the foreseeable future. You might want to open up a joint checking account, but try to keep your finances separate until he has recovered his credit rating.

At the end of the day, the goal is to rehabilitate your partner's credit without dragging you down into the muck an mire.

Read more: Make Sure Fiances Bankruptcy Wont Affect You

For your next title order or

if you have questions about what you see here, contact

Stephen M. Flatow, Esq.

Stephen's Title Agency, LLC

165 Passaic Avenue, Suite 101

Fairfield, NJ 07004

Tel 973-227-4724 - Fax 973-556-1628

E-mail Stephenstitle AT comcast.net - www.stephenstitle.com

Mortgage interest rates to rise due to hidden fee

Loan fees are about to rise, and you won't even know it.  The fee in question is a guarantee fee collected by Fannie Mae and Freddie Mac that is part of the interest rate you pay.  It's not set forth on the settlement statement because it does not have to be disclosed.

According to the New York Times,

INSIDE the interest rate quoted on your home lies a small hidden fee that has been charged by government-sponsored entities like Fannie Mae and Freddie Mac for more than three decades. It’s an add-on rate known as the guarantee fee.

Everyone has to make a living, including Fannie Mae and Freddie Mac, don't you think?  But just think of the fees collected over the years that seem to have been squandered in the so-called "sub-prime crisis."  In any event, it means a small rise in interest rates is coming in the days ahead.

Read the full story here.

For your next title order or

if you have questions about what you see here, contact

Stephen M. Flatow, Esq.

Stephen's Title Agency, LLC

165 Passaic Avenue, Suite 101

Fairfield, NJ 07004

Tel 973-227-4724 - Fax 973-556-1628

E-mail Stephenstitle AT comcast.net - www.stephenstitle.com

Sometimes “let’s make a deal” works to sell a house.

Fairfield nj title agency refinance stephen's title agency llc

The New York Times Antoinette Martin writes about “Going Beyond Price Cuts” on February 12, 2012.

“A PERSISTENT recession in house sales has led to a surge in “concessions” for buyers. In listings and brochures, and most recently through a program started up on Zillow.com, real estate agents are trumpeting the news: even sellers who have reduced asking prices by a lot are often willing to do more.”

“That means contract concessions, in which sellers may agree to cover a buyer’s closing costs, provide a gift card for a certain amount, pay in advance for renovations, or even subsidize taxes by allocating funds from their proceeds at closing.”

One of the keys is that the seller has to be creative.  Taxes too high?  Pay some of them on a going forward basis.  Buyer is a little cash strapped?  Give them cash.

The house must still fully appraise, but, hey, isn’t that what life’s all about.

Read the full story here. 

Do you have a story about concessions?  If so, we’d like to hear from you.  Please post your comment below.



For your next title order or
Despite what you may have read to the contrary about concessions, “as long as concessions are written into a contract” and are clearly disclosed on the HUD Settlement Statement, … many banks in New Jersey are approving mortgage loans with up to 3 percent of purchase price in seller concessions.”  FHA loans can be approved with concessions as high as 6 percent.

if you have questions about what you see here, contact

Stephen M. Flatow, Esq.

Stephen's Title Agency, LLC

165 Passaic Avenue, Suite 101

Fairfield, NJ 07004

Tel 973-227-4724 - Fax 973-556-1628

E-mail Stephenstitle AT comcast.net - www.stephenstitle.com

Principal Reduction Will Solve The Housing Crisis and Jumpstart The Economy

Realty Times has a blow-out article written by Tanya Marchiol, President of Team Investments, an Arizona real estate broker.

The gist -

The American economy is chained to the crushing housing debt load. Chronic unemployment, foreclosures, and small business closings can all ultimately be traced back to the housing crisis. Working families across the country have seen their home values plummet, have had their life savings wiped clean, have been powerless to help when their loved ones lost their jobs, and in too many cases watched helplessly while they lost their homes to banks that continue to post billion-dollar profits and pay out billion-dollar bonuses. Add to that the trillions in bailouts and backstops that taxpayers gave to the banks, and one thing is clear: tax payers have already done their part. Now it is the banks' turn. Principal reduction will restore the American Dream, create jobs, and give the American family the ability to breathe again.

Ms. Marchiol is on to something here. We have heard many of the stories that she writes about. 

Read the full article.

For your next title order or

if you have questions about what you see here, contact

Stephen M. Flatow, Esq.

Stephen's Title Agency, LLC

165 Passaic Avenue, Suite 101

Fairfield, NJ 07004

Tel 973-227-4724 - Fax 973-556-1628

E-mail Stephenstitle AT comcast.net - www.stephenstitle.com