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|Violet and I
This office serves clients in real estate transactions of all types. I
also assist clients with estate planning for everyone, including the GLBT community, and represent Illinois condominium associations
as needed. I help real estate investors who are renting their properties deal with difficult renter issues, and I advocate
for renters dealing with difficult landlords.
I work with clients in Chicago and all over the Chicagoland area, including
Wilmette, Skokie, Morton Grove, Plainfield, Wheaton, Glencoe, Lake Forest, Naperville, Oak Park, Winnetka, Des Plaines, Orland
Park, Berwyn, Carol Stream, Arlington Heights, Crystal Lake, Barrington, Palatine, Park Ridge, Gurnee, South Holland, Park
Forest and more.
My goal is to give
each and every client personal, friendly and competent service at a reasonable price. I also strive to use technology in the
best way possible to keep my clients informed.
My legal background includes working for a major Chicago developer and working for a boutique
firm in their real estate division. I am also a landlord of a three flat building in Rogers Park and I am managing broker
of a small real estate brokerage.
I work with all different types of clients, including developers, first-time buyers, buyers of second
(or third!) homes, all sellers and the LGBTQ community.
My real estate blog is below. Please make sure to check
back on a regular basis to check out what's new. I update my blog about once a week and welcome any questions that you may
Ask me too about help with personal injury, divorce, and any other legal issues!
Greenview Drive, Crystal Lake, IL 60014
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Advice on Buying a Foreclosed Home on Illinois Homes, one of the top sites
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Wednesday, October 2, 2013
New Guidelines for FHA Short Sales
2:11 pm cdt
|Effective October 1, 2013 U.S. Department of
Housing and Urban Development (HUD) has announced the following changes to their Federal Housing Administration (FHA) Short
Sale requirements: |
To review additional information about FHA requirements, please log
on to www.hud.gov. Questions can be directed to Short Sale Customer/Agent care at 1.866.880.1232.
- Eligibility Requirements: To
successfully complete a short sale under the FHA short sale program, the borrowers must meet the following requirements:
- They cannot list the property with or sell it to anyone with whom they are
related or have a close personal or business relationship. In legal terms, it must be an "arm's-length" transaction.
Any knowing violation of the arm's-length requirement may be a violation of federal law.
- Your mortgage must be in default, on the date the short sale transaction closes.
- Before closing, any additional liens against the property must be released.
A lien holder who demands a payment to release its lien must submit a written statement, and an agreement to release the lien
if that amount is paid.
- Financial Hardship
Validation Requirement: For a standard preforeclosure sale, servicers must use a Deficit Income Test (DIT) to
determine a homeowner's financial hardship. The IRS Collection Financial Standards will be used to verify homeowners
expenses not reflected in their credit report. Only owner-occupied properties are eligible for the standard preforeclosure
- New Streamlined Short Sale Option: Homeowners
eligible for a streamlined short sale may not be required to submit financial information or have a financial hardship.
Principal residences, second homes, investment properties and service members who have received Permanent Change of Station
(PCS) Orders are potentially eligible.
- Property Appraisal: The
appraisal of your property should be completed within approximately ten business days. After the appraisal, the short
sale file will be updated and prepared for review. In some cases, approval may be required by the investor and/or FHA,
which may take more time.
- Cash Contribution: As
a new condition, you might be required to make a final payment (sometimes called a cash contribution) before or at closing.
This payment will reduce the deficiency balance.
Incentive Compensation: If you are an owner occupant, acting in good faith, and successfully selling your property,
you may be eligible for an incentive of up to $3,000. If you are required to make cash contribution, you are not eligible
for this incentive.
- Short Sale Contract Addendum:
- The revised FHA short sale addendum must be signed
and dated by all parties. Under this addendum, all parties agree that the subject property must be sold through an arm's-length
transaction. An arm's-length transaction is defined as a short sale between two unrelated parties that is characterized
by a selling price and other conditions that would prevail in an open market environment. Also, no hidden terms or special
understandings can exist between any of the parties (e.g., buyer, seller, appraiser, sales agent, closing agent, and mortgagee)
involved in the transaction.
- Action Required: Review
the Short Sale FHA Program guides located on the Agent Resource Center:
National Foreclosure Settlement Rules Tweaked Amid Complaints
11:05 am cdt
From today's Chicago Tribune...
$25 billion national mortgage foreclosure settlement is getting tweaked, to address numerous complaints that mortgage servicers
are falling short in their dealings with struggling borrowers.
When it was announced in February
2012, the settlement sought to compensate borrowers for wrongs they experienced in the foreclosure process. Equally important
was the development of new mortgage servicing standards that applied to the nation’s five largest servicers, Bank of
America, Wells Fargo, JPMorgan Chase, Citigroup and Ally/GMAC.
But homeowners, housing counselors
and state attorneys general have complained that the banks are not complying with many of the 304 standards they agreed to
as part of the pact with the Justice Department, state attorneys general and the five companies.
standards "were supposed to eliminate headaches for borrowers, but homeowners continue to report problems," said
Illinois Attorney General Lisa Madigan, whose office is a member of the settlement's monitoring committee.
changes announced Tuesday night by the committee, many of which were agreed to only by Bank of America and Wells Fargo, seek
to correct those issues.
Under the new procedures announced Tuesday night, all five banks will give
homeowners 60 days, instead of 30, to submit additional documents that might help them secure a loan modification before the
home goes into foreclosure or moves toward a foreclosure-related sale. The banks also have promised to do a better job of
overseeing employees who work with borrowers.
Two servicers, Bank of America and Wells Fargo, also agreed
to adopt other policies, such as being more specific about what missing information they need from homeowners. Currently,
if a borrower sends in a document but forgets to sign it, the servicer may send a letter saying the document is missing, rather
than just telling the homeowner that they forgot to sign it.
Those two companies also agreed
to escalate loan modification applications when a customer is being asked repeatedly for more documents. And they will use
an online portal to submit documents and create a direct contact for the housing counseling agencies working with struggling
The committee continues to discuss additional service improvements with the three other
banks, according to Natalie Bauer, a Madigan spokeswoman.
In May, Madigan said she saw an
"alarming" pattern of potential violations of loan modification servicing standards. Among them: In 60 percent of
files reviewed by her office, servicers did not notify borrowers within the required five days that their applications for
a loan modification were missing documents. And in 45 percent of the files reviewed, servicers asked homeowners for
documents multiple times.
In his June report on the settlement's progress, independent monitor Joseph A. Smith Jr., said
four of the five banks were failing to comply with the servicing aspects of the settlement. At the time, Shaun Donovan, secretary
of the Department of Housing and Urban Development said the "deep and pervasive problems" in mortgage servicing