Entries from Searchlight Crusade tagged with 'law'

Real Estate Sellers Giving A Buyer Cash Back is Defrauding the Lender

When we sold our home just over a year ago we were talked into selling for a bit more than the original offer so the person could get money back to do renovations... I objected based on percentages and...

Unpaid Property Taxes That Should Have Been Paid Through Escrow

my prorated property taxes came were paid at closing but now I'm getting a delinquent tax bill You mean they were supposed to be paid at closing. There are two major possibilities: 1) They were not, in fact, paid...

Offers Where The Buyer Knows About A Problem With Your Property

Every once in a while, a listing agent will get an offer in where the Buyer's Agent did their research, got lucky, or both, and the offer indicates that the buyer is aware of one or more problems that really...

Keeping Pre-payment Penalties Legal

I got a search for "which states allow prepayment penalties". I'm not aware of any that don't. If you are, I'd like to know. Any such states should immediately be renamed "Denial". I really hate prepayment penalties, for a large...

Advertising a Sold Property As Available on MLS

This really ticks me off. I just got done going around about this with a clueless Realtor. According to them, it's not available. It's simply pending contract signatures. But it's showing as "Active" in MLS. This is not a minor...

Altering the Terms of A Real Estate Purchase Contract

A search hit that I got: What is the reasonable amount of notice to give when changing contract terms in California Unfortunately for this person, a real estate contract is not something like Lando Calrissian's bargain with the Empire in...

"Buy and Bail" or Buying One Home Before Foreclosure on Another

This has been a noticeable phenomenon for quite a while in San Diego. I've been loath to talk about it because I didn't want to be giving fraudsters ideas. Most lenders have now put into place safeguards against this measure....

The Return of Portfolio Lending

Fannie and Freddie long had a policy that they would not fund investment property (non-owner occupied) beyond 10 loans for a given investor. Although it did impact a certain number of investors, for most folks that rule just never came...

Wells and Community Water Systems

We read Searchlight Crusade every day and consider your essays a priceless education in avoiding the major pitfalls in the home-buying process. On behalf of all of us consumers, thank you so much for your hard work! Please comment on...

Listing Agreements: Exclusive Right to Sell Versus Exclusive Agency

There are actually several different kinds of listing agreements. They get their names from the rights conferred when you sign the contract. The vast majority of agreements concluded are either Exclusive Right to Sell or Exclusive Agency. Exclusive Right To...

The Are No Schools That Teach What A Good Agent Needs to Know

I find it fascinating the number of people who will claim that because no college degree is required to become a real estate agent, that agents can't possibly be worth any significant amount of money. The reason no college...

What Does Escrow Do?

This is a question that gets asked a lot. Escrow is nothing more or less than a neutral third party that stands in the middle of a real estate transaction and makes certain all of the i's are dotted and...

What Do Loan Qualification Standards Accomplish?

If you don't know the answer to this, don't be embarrassed. Lots of alleged professionals forgot the answers to these questions for several years, if indeed, they ever knew. It seems like quite a few still don't know the answer...

FSBO Horror and Failure to Disclose Property Defects

I keep getting search result hits for the string "fsbo horror." It's an amalgamation because I haven't done any postings on this specific subject. Both buyers and sellers have problems relating to For Sale By Owner issues. For sellers, the...

Magical Thinking About Mortgage Loans

(This is an updated reprint of an article written in February 2007. The Era of Make Believe Loans that made it easier to qualify people for inflated loan amounts ended abruptly a few days later, but the sort of thinking...

Rent to Own and Lease With Option to Buy

This has always been a portion of the market, but right now, more and more people are emphasizing it, or at least the ones who are able. Actual Rent to Own is rare these days, a sign that the...

The Basics of What Should A Buyer Offer (and Should You Even Make An Offer)?

Dan, Okay, so now I'm in the process of just making an offer on a house and it's already getting confusing despite all my reading. It would have been worse has I not spent all this time reading but just...

Can You Change Lenders After the Loan is Approved?

This question brought someone to the site Can I change lenders after the loan is approved? The answer is yes, but you need to start the loan process all over again. Actually, you can change lenders any time you want...

Non-Recourse Purchase Money Loans in California

do you agree that a non recourse loan on a single family home is loaned with out financial risk to the borrower... if they do not want to keep their home when the market drops below what they owe,...

Real Estate: General Education versus Specific Expertise

Hi Dan, Your blogsite is great; I stumbled on it and find you very credible and knowledgeable. I have two questions for you, if you are looking for things to write about: 1) What are your views on the...