• Click Here to Subscribe to Email updates

  • psst … I’m a Realtor! Thanks for stopping by my website. I would love to help you find your dream home and community in the Hampton Roads or Williamsburg area or to sell your existing home. This website is authored by local resident and REALTOR, John Womeldorf. John is known around town as Mr. Williamsburg, for both his extensive knowledge of Hampton Roads and the historic triangle, and his expertise in the local real estate market. His websites, WilliamsburgsRealEstate.com and Mr Williamsburg.com were created as a resource for folks who are exploring a move to Williamsburg, VA , Hampton Roads VA and the surrounding areas of the Virginia Peninsula. On his website you can search homes for sale , foreclosures, 55+ active adult communities, condos and town homes , land and commercial property for sale in Williamsburg, Yorktown, New Kent, Poquoson, and Gloucester, VA as well as surrounding markets of Carrolton, Chesapeake,Gloucester, Hampton, Isle of Wight, Portsmouth Mathews, Newport News Norfolk, Poquoson, Smithfield, , Suffolk, Surry, Va Beach, Yorktown and York County Virginia You can reach John by email John@MrWilliamsburg.com or phone @ 757-254-813
  • RSS Colonial Williamsburg News

    • Welcome to Fall with the Center for Teaching, Learning, and Leadership!
      Editor’s Note: The Colonial Williamsburg Center for Teaching, Learning, and Leadership is joining the Making History blog to bring education-related resources and news straight to your inbox, along with the latest news and “freshest advices.”  With classes underway in the nation’s schools, educators nationwide have Colonial Williamsburg on their side in tell […]
    • Art Museums Reach New Audiences Online Through Sotheby’s Partnership
      When you have world-class collections such as we have at the Art Museums of Colonial Williamsburg (known individually as the Abby Aldrich Rockefeller Folk Art Museum, now celebrating its 60th anniversary year, and the DeWitt Wallace Decorative Arts Museum), you want to share them with as broad an audience as possible beyond the visitors who...Read More » […]
    • Haunting on DoG Street Returns!
      Join us as we celebrate the Halloween season with new evening programs, ghost tours, spooky carriage rides, museum talks, and trick-or-treating on DoG Street. Special Events Trick-or-Treating on DoG Street Saturday and Sunday, October 28 and 29 | 2:00 – 5:00 p.m. This Halloween season, Colonial Williamsburg depicts a world turned upside down. The British hav […]
    • John Ross Hamant, 1949 – 2017: An Appreciation
      It is with heavy hearts that we note the passing of longtime Colonial Williamsburg Foundation employee and veteran character interpreter, John Hamant.  Mr. Hamant, a Baltimore native, earned a bachelor’s degree in theater production and a master’s degree in acting and directing from the University of Arizona, but it was his love of archaeology that first...R […]
    • Handling the Heat: Animal Safety & High Temperatures
      The heat index soared this weekend, and that naturally raises questions about safety—for both our costumed interpreters and animals. Besides plenty of water, breaks, and shade, Coach & Livestock utilizes a heat index policy for working animals.  Cattle—like dogs—cannot sweat, so they are removed from work when the heat index reaches 95°.  Horses can swea […]
  • Flickr Photos

New program will allow some On-Time Borrowers to Leave Homes & Mortgages

imageFor some homeowners, March 1, 2013 will be Liberation Day. That’s when Fannie Mae and Freddie Mac will start allowing some homeowners who have been stuck in their homes—unable to move because they owe more than the property is worth—to walk away from their homes and mortgages

The new rules for deed-in-lieu of transactions apply to people who are current or less than 90 days late on their mortgage payments. To the extent that the change makes it easier for people to move—to take a new job, shift locations following the death of a spouse or caregiver, or if they become ill and can no longer afford the house payment—it should help the economic recovery. The change also will benefit military personnel who are relocated.

Previous foreclosure-prevention programs were designed to help only borrowers on the verge of losing their homes, in effect penalizing those who kept paying.

To be eligible to turn over the house keys, homeowners must be making payments of at least 55 percent of their monthly income for the house and must be able to document a “hardship” that requires a move, such as a spouse’s death. The home must be clean and not damaged. Homeowners may also have to surrender as much as 20 percent of personal assets, excluding retirement accounts, to partially meet the loan’s unpaid balance, depending on the borrower’s financial situation. The program does not affect second mortgages. Mortgage servicers can offer up to $6,000 for second-lien holders to release borrowers from the loans, but there’s no requirement that the holders agree. This could limit participation.

What is the process for a Deed-in-Lieu?

To qualify for a DIL, you will work with your mortgage company to complete the eligibility process, such as determining the value of the property and how much you still owe as well as reviewing your current hardship. If approved, you will need to vacate the property (unless we agree to lease the property back to you), and you may be required to sign standard pre-closing documents as well as attend the closing.

Additionally, you will need to leave the home—both inside and outside—in good condition, free of interior and exterior trash, debris or damage, and all personal belongings must be removed. In some cases, you may be eligible to receive relocation assistance to use toward your moving expenses and to make the transition to new housing easier.

A DIL usually takes around 90 days to complete, but this could be shorter or longer or depending upon your specific situation.

The new programs are separate from the government’s Making Home Affordable foreclosure-prevention efforts that require homeowners to be in or near default. The Fannie Mae and Freddie Mac programs don’t require borrowers to be turned down for a modification before applying, as does the Treasury-run Home Affordable Foreclosure Alternative program, or Hafa.

Fannie Mae and Freddie Mac may require repayment of some of the shortfall between the value of the home and the mortgage balance — if the borrowers have the means. Homeowners who apply for deed-in-lieu transactions may be asked to make cash contributions of up to 20 percent of their financial reserves, excluding retirement accounts, according to the guidelines.

Or, they may be asked to sign a promissory note for future no-interest repayments. The amount and terms can be negotiated, according to the servicer guidelines.

Two weeks ago, Congress extended a law that grants tax-free status to the forgiven portions of mortgages, which normally would be considered income for the borrower.

Advertisements

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s

%d bloggers like this: