BGS3 News Update:
Since the passing of H.R. 1424, (commonly referred to as the “bailout plan,”) there has been little up-to-date public news about what the U.S. Treasury Department has been doing with its newly-bestowed powers. While the American people have been assured several times that work is being done to fix our troubled economy, the details of this work have been completely under wraps.
But BGS3 can now report that on Tuesday, October 14, 2008, the Treasury Department revealed a plan to use $250 billion to purchase preferred shares of several leading U.S. banks.
Nine banks, defined by U.S. Treasury Secretary Henry Paulson as “healthy institutions,” have agreed to sell preferred shares to the government in order to help repair the economy. Included in these nine banks are Citigroup Inc., Wells Fargo & Co., JPMorgan Chase & Co., Bank of America Corp. and Morgan Stanley. The government has limited its spending to $25 billion of risk-weighted assets per institution. Banks applying for government purchases have been given a deadline of November 14. BGS3 regularly negotiates with several of these banks, and it is with the help of these banks that BGS3 has been able to prevent high numbers of foreclosures across the country.
Additionally, on October 27 the Federal Reserve will begin to purchase short-term debt in the form of commercial paper (commonly used by companies for paychecks and supplies).
Sec. Paulson explained that these changes are necessary for banks to begin lending to their customers as well as other banks.
President Bush addressed concern about the U.S. government both regulating and partially owning these financial institutions, stating, “The government’s role will be limited and temporary. These measures are not intended to take over the free market but to preserve it.”
The housing crisis has clearly been a big factor in how our economy has plummeted to its current condition. BGS3 has been fighting foreclosures actively through Program 3648, and BGS3 is achieving record-numbers of short sale closings every month. But unfortunately, foreclosure rates are also increasing. These major changes could possibly lead to more prevented foreclosures and loan modifications, but only time will tell. BGS3 will continue updating its readers on this situation and what it means in regards to the housing crisis.
SOURCE: Administration unveils revamped bank bailout
VIDEO: http://www.bgs3.com/realtors.html
Tuesday, October 14, 2008
Tuesday, October 7, 2008
BGS3 Blog - Bailout Predicted in 1999
The revised bailout plan has been passed, and met with mixed opinions by the American people.
During these troubled times it would seem that everyone has their own solution, and every solution has its own public outcry warning against it. Our economy needs help as soon as possible, but acting quickly and acting efficiently are not necessarily synonymous.
The housing crisis has clearly been a big factor in how our economy has plummeted to its current condition. BGS3 has been fighting foreclosures actively through Program 3648, and BGS3 is achieving record-numbers of short sale closings every month. But unfortunately, foreclosure rates are also increasing. To help better understand how the housing crisis began, the Official Blog of BGS3 would like to direct your attention to an article from The New York Times, published on September 30, 1999. The article, “Fannie Mae Eases Credit To Aid Mortgage Lending” by Steven A. Holmes, summarizes itself in its opening paragraph, which reads:
The article goes on to explain the reasoning behind this ill-fated plan:
But perhaps the most sobering part of this article is that even then, almost exactly nine years ago, the potential for disaster was apparent:
The full article can be found here: Fannie Mae Eases Credit To Aid Mortgage Lending
VIDEO: http://www.bgs3.com/realtors.html
During these troubled times it would seem that everyone has their own solution, and every solution has its own public outcry warning against it. Our economy needs help as soon as possible, but acting quickly and acting efficiently are not necessarily synonymous.
The housing crisis has clearly been a big factor in how our economy has plummeted to its current condition. BGS3 has been fighting foreclosures actively through Program 3648, and BGS3 is achieving record-numbers of short sale closings every month. But unfortunately, foreclosure rates are also increasing. To help better understand how the housing crisis began, the Official Blog of BGS3 would like to direct your attention to an article from The New York Times, published on September 30, 1999. The article, “Fannie Mae Eases Credit To Aid Mortgage Lending” by Steven A. Holmes, summarizes itself in its opening paragraph, which reads:
“In a move that could help increase home ownership rates among minorities and low-income consumers, the Fannie Mae Corporation is easing the credit requirements on loans that it will purchase from banks and other lenders.”
The article goes on to explain the reasoning behind this ill-fated plan:
“Fannie Mae, the nation’s biggest underwriter of home mortgages, has been under increasing pressure from the Clinton Administration to expand mortgage loans among low and moderate income people and felt pressure from stock holders to maintain its phenomenal growth in profits.
“In addition, banks, thrift institutions and mortgage companies have been pressing Fannie Mae to help them make more loans to so-called subprime borrowers. These borrowers whose incomes, credit ratings and savings are not good enough to qualify for conventional loans, can only get loans from finance companies that charge much higher interest rates – anywhere from three to four percentage points higher than conventional loans.”
But perhaps the most sobering part of this article is that even then, almost exactly nine years ago, the potential for disaster was apparent:
“In moving, even tentatively, into this new area of lending, Fannie Mae is taking on significantly more risk, which may not pose any difficulties during flush economic times. But the government-subsidized corporation may run into trouble in an economic downturn, prompting a government rescue similar to that of the savings and loan industry in the 1980’s.
“’From the perspective of many people, including me, this is another thrift industry growing up around us,’ said Peter Wallison a resident fellow at the American Enterprise Institute. ‘If they fail, the government will have to step up and bail them out the way it stepped up and bailed out the thrift industry.’”
The full article can be found here: Fannie Mae Eases Credit To Aid Mortgage Lending
VIDEO: http://www.bgs3.com/realtors.html
Tuesday, September 30, 2008
BGS3 News - Bailout Bill Outvoted in Congress
BGS3 News Update:
The economy is in serious trouble. The outcome and ramifications of the negotiations in Congress are unclear at this moment. BGS3 will keep its finger on the pulse of this precarious situation, and will keep BGS3’s blog readers updated on what the changes are and how they will affect the housing market and the economy.
The volatility and fragile status of the market that is peppering the news on a daily basis will continue. Despite all the bad news, there are many things that are heading in a positive direction…
BGS3 continues to gain momentum in fighting for homeowners facing foreclosure. Our file levels, closings and closing percentages are all at all-time highs, and we are getting more testimonials from thankful homeowners and Realtor partners than we ever have before.
BGS3 doesn't have a crystal ball regarding what the bailout will look like, but it is becoming increasingly clear that there will be one. Government will most likely take some sort of action by next week. While Congress voted against passing the $700 billion bailout plan yesterday, the vote was very close (228-205) and revisions or rewrites will certainly be prepared when the House meets again on Thursday.
More to come,
VIDEO: http://www.bgs3.com/realtors.html
The economy is in serious trouble. The outcome and ramifications of the negotiations in Congress are unclear at this moment. BGS3 will keep its finger on the pulse of this precarious situation, and will keep BGS3’s blog readers updated on what the changes are and how they will affect the housing market and the economy.
The volatility and fragile status of the market that is peppering the news on a daily basis will continue. Despite all the bad news, there are many things that are heading in a positive direction…
BGS3 continues to gain momentum in fighting for homeowners facing foreclosure. Our file levels, closings and closing percentages are all at all-time highs, and we are getting more testimonials from thankful homeowners and Realtor partners than we ever have before.
BGS3 doesn't have a crystal ball regarding what the bailout will look like, but it is becoming increasingly clear that there will be one. Government will most likely take some sort of action by next week. While Congress voted against passing the $700 billion bailout plan yesterday, the vote was very close (228-205) and revisions or rewrites will certainly be prepared when the House meets again on Thursday.
More to come,
VIDEO: http://www.bgs3.com/realtors.html
Wednesday, September 24, 2008
BGS3 - Protecting Homeowners from Fraud
Hello, and welcome once again to the official blog of BGS3... rapidly becoming one of the most relied-upon foreclosure solutions in America!
Lately there have been a lot of stories in the news about fraudulent companies taking advantage of homeowners in need of short sales. These companies seek out people facing foreclosure and claim to have the solution for an up-front fee, only to disappear after payment. Other companies will convince the troubled homeowners to agree to intentionally complicated transactions, resulting in the companies receiving thousands of dollars or equity in the house. This troubled time for homeowners becomes even more troubled when they don¹t feel that they can trust anyone. Most homeowners facing foreclosure have just been through hardships and cannot afford to pay for guidance and advice, no matter how badly they need it; and no one wants to pay a fraud!
That¹s why BGS3 has designed its unique system of helping homeowners understand all of their rights and options and helping them... all at no cost to the homeowner. BGS3 never uses "phantom buyers" or "straw buyers", and BGS3 never takes any ownership of the property. BGS3 prides itself in its honesty, and helping the homeowner has always been the first step.
In addition to updates, this BGS3 blog also serves as an opportunity for feedback from you, the reader. BGS3 often receives messages from raving fans, and BGS3 will occasionally use this blog to post comments and testimonials.
"I feel like I¹m getting personalized coaching here! All of my questions have been answered and the information is priceless."
- Joanne Ricciardella
VIDEO: http://www.bgs3.com/realtors.html
Lately there have been a lot of stories in the news about fraudulent companies taking advantage of homeowners in need of short sales. These companies seek out people facing foreclosure and claim to have the solution for an up-front fee, only to disappear after payment. Other companies will convince the troubled homeowners to agree to intentionally complicated transactions, resulting in the companies receiving thousands of dollars or equity in the house. This troubled time for homeowners becomes even more troubled when they don¹t feel that they can trust anyone. Most homeowners facing foreclosure have just been through hardships and cannot afford to pay for guidance and advice, no matter how badly they need it; and no one wants to pay a fraud!
That¹s why BGS3 has designed its unique system of helping homeowners understand all of their rights and options and helping them... all at no cost to the homeowner. BGS3 never uses "phantom buyers" or "straw buyers", and BGS3 never takes any ownership of the property. BGS3 prides itself in its honesty, and helping the homeowner has always been the first step.
In addition to updates, this BGS3 blog also serves as an opportunity for feedback from you, the reader. BGS3 often receives messages from raving fans, and BGS3 will occasionally use this blog to post comments and testimonials.
"I feel like I¹m getting personalized coaching here! All of my questions have been answered and the information is priceless."
- Joanne Ricciardella
VIDEO: http://www.bgs3.com/realtors.html
Tuesday, September 23, 2008
BGS3 Clears Up Common Foreclosure and Short Sale Misconceptions
Unfortunately, there are increasing numbers of homeowners that are unable to make their mortgage payments on time. If the mortgage payments continue to fall behind, and the homeowner owes more money than the house is actually worth, the foreclosure process begins. BGS3 wants you to know that there are a few possible outcomes for the homeowner at this point, and one of the more common occurrences as of late is the short sale. A short sale is when a Realtor and a homeowner land an offer to buy the pre-foreclosed home, and the mortgage lender agrees to the price. This is one way that BGS3 prevents the foreclosure process from actually happening.
BGS3 realizes that there are a lot of misconceptions about short sales, possibly due to their sudden increase in demand. Here are three of the more common misconceptions and their respective truths:
MISCONCEPTION #1: “A short sale is no less damaging to the homeowner’s credit than bankruptcy or foreclosure.”
THE TRUTH: In a foreclosure, the time period a borrower must take to rebuild his or her credit has been extended to 5 years, and several new requirements now apply after 5 years and up to 7 years after the completion date. This makes foreclosure more damaging to a homeowner's credit worthiness than bankruptcy, which requires a 4-year time period applied from either the discharge date or the dismissal date. Even in the event that the homeowner offers a deed-in-lieu of foreclosure, it still requires a 4-year time period before they are eligible to get a conforming loan again. A deed-in-lieu of foreclosure also includes additional requirements applied after 4 years and up to 7 years following the completion date.
In the event of a pre-foreclosure short sale, where the homeowner is willing to let their house sell for less than the amount owed, Fannie Mae only requires a 2-year time period for reestablishing credit, with no additional requirements. BGS3 can help make this happen.
MISCONCEPTION #2: “Banks and lenders rarely accept an offer on a short sale.”
THE TRUTH: Mortgage lenders lose thousands of dollars when a homeowner stops making their mortgage payments. These holding costs keep piling up until the house is sold. Consequently, when it's proven that a homeowner can no longer make their payments or qualify for a loan modification or forbearance plan, most lenders are willing to settle the mortgage debt for less than amount owed provided the proper process, documentation, and criteria are completed. In addition to saving on holding costs, the lender ("servicer") can also benefit from Freddie Mac and Fannie Mae ("investors"), which grants up to $1,500-2,000 for pre-foreclosure sales that meet certain conditions.
MISCONCEPTION #3: “There is no way to solve a pre-foreclosure situation without one of the parties involved taking a serious blow.”
THE TRUTH: BGS3 has an approach, Program 3648, that benefits everyone. The homeowner behind on mortgage payments can easily understand their rights and options. They can get free help from a Certified Program Representative (CPR) for BGS3 to do a forbearance plan or a loan modification to keep their home. Or, if they decide that a short sale is in their best interest, the CPR for BGS3 who is a licensed real estate professional can list their home at a price that it can actually sell regardless of the loan balance, still at no cost to the homeowner. BGS3 then processes the real estate short sale and negotiates the debt with the mortgage company for a nominal processing fee, which the mortgage company gladly pays for the help in clearing their books.
BGS3 Co-founder Jeremy T. Bowman states, "The homeowner wins by stopping the public foreclosure that can be more detrimental to their credit than a bankruptcy. The mortgage company wins by either bringing the payments current, or in the case of the short sale, getting rid of a property that they would have to add to their portfolio of non-performing assets where the costs soar even higher. The Certified Program Representative wins in the event that the mortgage company will pay a commission for the home to be sold sooner than later. The economy wins by the dramatic decrease in real estate inventory plaguing the market. Our mission is to halt the foreclosure process for thousands of homeowners in the oncoming weeks and months. With the big picture in mind, it was critical to be able to claim a winner on every one of those fronts."
VIDEO: http://www.bgs3.com/realtors.html
BGS3 realizes that there are a lot of misconceptions about short sales, possibly due to their sudden increase in demand. Here are three of the more common misconceptions and their respective truths:
MISCONCEPTION #1: “A short sale is no less damaging to the homeowner’s credit than bankruptcy or foreclosure.”
THE TRUTH: In a foreclosure, the time period a borrower must take to rebuild his or her credit has been extended to 5 years, and several new requirements now apply after 5 years and up to 7 years after the completion date. This makes foreclosure more damaging to a homeowner's credit worthiness than bankruptcy, which requires a 4-year time period applied from either the discharge date or the dismissal date. Even in the event that the homeowner offers a deed-in-lieu of foreclosure, it still requires a 4-year time period before they are eligible to get a conforming loan again. A deed-in-lieu of foreclosure also includes additional requirements applied after 4 years and up to 7 years following the completion date.
In the event of a pre-foreclosure short sale, where the homeowner is willing to let their house sell for less than the amount owed, Fannie Mae only requires a 2-year time period for reestablishing credit, with no additional requirements. BGS3 can help make this happen.
MISCONCEPTION #2: “Banks and lenders rarely accept an offer on a short sale.”
THE TRUTH: Mortgage lenders lose thousands of dollars when a homeowner stops making their mortgage payments. These holding costs keep piling up until the house is sold. Consequently, when it's proven that a homeowner can no longer make their payments or qualify for a loan modification or forbearance plan, most lenders are willing to settle the mortgage debt for less than amount owed provided the proper process, documentation, and criteria are completed. In addition to saving on holding costs, the lender ("servicer") can also benefit from Freddie Mac and Fannie Mae ("investors"), which grants up to $1,500-2,000 for pre-foreclosure sales that meet certain conditions.
MISCONCEPTION #3: “There is no way to solve a pre-foreclosure situation without one of the parties involved taking a serious blow.”
THE TRUTH: BGS3 has an approach, Program 3648, that benefits everyone. The homeowner behind on mortgage payments can easily understand their rights and options. They can get free help from a Certified Program Representative (CPR) for BGS3 to do a forbearance plan or a loan modification to keep their home. Or, if they decide that a short sale is in their best interest, the CPR for BGS3 who is a licensed real estate professional can list their home at a price that it can actually sell regardless of the loan balance, still at no cost to the homeowner. BGS3 then processes the real estate short sale and negotiates the debt with the mortgage company for a nominal processing fee, which the mortgage company gladly pays for the help in clearing their books.
BGS3 Co-founder Jeremy T. Bowman states, "The homeowner wins by stopping the public foreclosure that can be more detrimental to their credit than a bankruptcy. The mortgage company wins by either bringing the payments current, or in the case of the short sale, getting rid of a property that they would have to add to their portfolio of non-performing assets where the costs soar even higher. The Certified Program Representative wins in the event that the mortgage company will pay a commission for the home to be sold sooner than later. The economy wins by the dramatic decrease in real estate inventory plaguing the market. Our mission is to halt the foreclosure process for thousands of homeowners in the oncoming weeks and months. With the big picture in mind, it was critical to be able to claim a winner on every one of those fronts."
VIDEO: http://www.bgs3.com/realtors.html
BGS3 - Alternatives to Foreclosure
Contrary to public belief, mortgage lenders are in no hurry to send a delinquent mortgage to collections. Foreclosure (which BGS3 fights to prevent) is expensive for mortgage lenders, insurers and investors. In fact, lenders are required to work diligently to help homeowners that are experiencing financial problems find a solution outside of foreclosure. If you fall into this category, there are options, and BGS3 is here to present those options to you. Understanding what option is best for you can, and will, affect your life for years to come.
Fannie Mae recently released new policies relating to the minimum time period that must elapse before a borrower will demonstrate they have reestablished acceptable credit. Foreclosure requires a 5-year time period from the date of completion. A pre-foreclosure sale, also known as a "short sale," requires a 2-year time period from the date of completion. A pre-foreclosure sale is the sale of a property by the borrower to a third party for less than the amount owed to satisfy the delinquent mortgage, as agreed to by the mortgage lender, insurer and investor.
BGS3, a national leader in pre-foreclosure sales, connects Realtors, homeowners, homebuyers and lenders to leverage this type of sale. Charles Cease, Chief Operating Officer at BGS3, stated, “If homeowners would simply acknowledge their need for help, more would receive the assistance or counseling that is available to them. Instead, many are embarrassed and ignore the problem staring them in the face. We are committed to helping every homeowner we can. We would love to see more people begin the healing process and start rebuilding their lives in two years instead of allow pride to hinder their judgment and suffering for another five to seven.”
All homeowners that are experiencing financial problems should contact their lender and a housing counselor to determine what option is best for them. BGS3 can help.
VIDEO: http://www.bgs3.com/realtors.html
Fannie Mae recently released new policies relating to the minimum time period that must elapse before a borrower will demonstrate they have reestablished acceptable credit. Foreclosure requires a 5-year time period from the date of completion. A pre-foreclosure sale, also known as a "short sale," requires a 2-year time period from the date of completion. A pre-foreclosure sale is the sale of a property by the borrower to a third party for less than the amount owed to satisfy the delinquent mortgage, as agreed to by the mortgage lender, insurer and investor.
BGS3, a national leader in pre-foreclosure sales, connects Realtors, homeowners, homebuyers and lenders to leverage this type of sale. Charles Cease, Chief Operating Officer at BGS3, stated, “If homeowners would simply acknowledge their need for help, more would receive the assistance or counseling that is available to them. Instead, many are embarrassed and ignore the problem staring them in the face. We are committed to helping every homeowner we can. We would love to see more people begin the healing process and start rebuilding their lives in two years instead of allow pride to hinder their judgment and suffering for another five to seven.”
All homeowners that are experiencing financial problems should contact their lender and a housing counselor to determine what option is best for them. BGS3 can help.
VIDEO: http://www.bgs3.com/realtors.html
BGS3 - The Homeowner Advocate
BGS3 understands that real estate problems can occur for a number of reasons. The following is BGS3's list of common life circumstances that can often lead to real estate problems:
LOSS OF JOB: One of the most common seller circumstances is job loss. Some people don’t want to face their problem and end up in foreclosure. Others just can’t find another job that will allow them to afford their house. Some get a new job out of town and have to sell their house quickly to take the new job.
ILLNESS: Unexpected illness and accidents often lead to job loss and exorbitant medical expenses that render people unable to afford their house any longer.
DIVORCES: Many times during a divorce, neither party wants their home, or can afford their home on a single income. In these cases, many times they stop making payment and go into foreclosure, both parties vacate and property sits vacant, or both just want out to get rid of the past so they can move forward in their lives.
LANDLORDS: Many times landlords get tired of renters destroying their property, having too many vacancies, have too many properties, or they are just sick of dealing with the hassles of being a landlord.
PROPERTY CONDITION: People will buy homes as a fixer upper and then realize they got in over their head and do not have the money or time to finish. They cannot sell their home on the market because it is in the middle of a rehab. Others have just let their home go as they have lived there for a long time and cannot sell because of the property’s condition.
INHERITED PROPERTIES: Many people who inherit properties do not want them. The properties can be in bad condition, in foreclosure, or the property could be out of state for the person who inherited it. In these cases, most people will be motivated to work with you to get rid of their problem.
ARM MORTGAGES ADJUSTING: Many Adjustable Rate Mortgages, ARMs, are adjusting upward, sending homeowners’ previously low payments through the roof, forcing them to refinance, sell, or face foreclosure.
OUT-OF-TOWN OWNERS: These are people that live in one town but have a rental property in another town. Many times this happens because the owner had a job transfer and they could not sell their home so their only option was to rent. Sometimes renters have destroyed these properties and the owners can’t afford to fix the damages, so they go into foreclosure or sell the properties for whatever the owners can get.
OVER-LEVERAGED: People who have taken out 2nd and 3rd mortgages, or used 100% financing, often don’t have enough equity to pay an agent to list their property. Also, declining property values have put many homeowners in an over-leveraged position where their houses cannot sell for what they owe on them. Unfortunately, the only option for these individuals is a short sale.
All of the above circumstances can lead to foreclosure. If you own a home that is about to foreclose, BGS3 can help you understand all of your options. And, if it is determined that you are not able to catch up on payments, BGS3 can assist in the short sale process as well.
VIDEO: http://www.bgs3.com/realtors.html
LOSS OF JOB: One of the most common seller circumstances is job loss. Some people don’t want to face their problem and end up in foreclosure. Others just can’t find another job that will allow them to afford their house. Some get a new job out of town and have to sell their house quickly to take the new job.
ILLNESS: Unexpected illness and accidents often lead to job loss and exorbitant medical expenses that render people unable to afford their house any longer.
DIVORCES: Many times during a divorce, neither party wants their home, or can afford their home on a single income. In these cases, many times they stop making payment and go into foreclosure, both parties vacate and property sits vacant, or both just want out to get rid of the past so they can move forward in their lives.
LANDLORDS: Many times landlords get tired of renters destroying their property, having too many vacancies, have too many properties, or they are just sick of dealing with the hassles of being a landlord.
PROPERTY CONDITION: People will buy homes as a fixer upper and then realize they got in over their head and do not have the money or time to finish. They cannot sell their home on the market because it is in the middle of a rehab. Others have just let their home go as they have lived there for a long time and cannot sell because of the property’s condition.
INHERITED PROPERTIES: Many people who inherit properties do not want them. The properties can be in bad condition, in foreclosure, or the property could be out of state for the person who inherited it. In these cases, most people will be motivated to work with you to get rid of their problem.
ARM MORTGAGES ADJUSTING: Many Adjustable Rate Mortgages, ARMs, are adjusting upward, sending homeowners’ previously low payments through the roof, forcing them to refinance, sell, or face foreclosure.
OUT-OF-TOWN OWNERS: These are people that live in one town but have a rental property in another town. Many times this happens because the owner had a job transfer and they could not sell their home so their only option was to rent. Sometimes renters have destroyed these properties and the owners can’t afford to fix the damages, so they go into foreclosure or sell the properties for whatever the owners can get.
OVER-LEVERAGED: People who have taken out 2nd and 3rd mortgages, or used 100% financing, often don’t have enough equity to pay an agent to list their property. Also, declining property values have put many homeowners in an over-leveraged position where their houses cannot sell for what they owe on them. Unfortunately, the only option for these individuals is a short sale.
All of the above circumstances can lead to foreclosure. If you own a home that is about to foreclose, BGS3 can help you understand all of your options. And, if it is determined that you are not able to catch up on payments, BGS3 can assist in the short sale process as well.
VIDEO: http://www.bgs3.com/realtors.html
BGS3 Facilitates the Short Sale Process Between the Lender and the Homeowner
BGS3 continues to be one of the fastest growing short sale and loss-mitigation companies in the country. BGS3's unique approach, under Program 3648 (a national outreach program that connects certified real estate agents with distressed homeowners), assists both the homeowner in default and the depleted lender.
Jonathan Bowman, Co-founder of BGS3, states, "Many want to pit the homeowner against the bank and the bank against the homeowner. The hard truth is, in a pre-foreclosure situation, both parties are suffering. Both the lender and the homeowner largely benefit from a neutral third party facilitating a cooperative effort that rescues the homeowner from foreclosure and the lender from financial loss.''
Mortgage lenders lose thousands of dollars when a homeowner stops making their mortgage payment. These holding costs continue to build up until the house is sold. As a result, when it becomes clear that a homeowner can no longer make his or her payments (or qualify for a loan modification or forbearance plan), most lenders are willing to settle the mortgage debt for less than amount owed provided the proper process, documentation, and criteria are completed; this is known as a short sale.
BGS3 facilitates the short sale process between the lender and homeowner, and the lenders are saved significant amounts of money in wasted-holding costs.
In order for most lenders to consider a short sale, there must be a contract from a buyer to purchase the house. With BGS3, lenders don't have to worry about low-ball offers from investors or "phantom buyers'' used just to kick off a short sale negotiation with the lender.
"Bank loss mitigators are overloaded,” says Woods Davis, Vice President of Operations at BGS3. “They don't have time to waste on bogus offers or incomplete paperwork. Our unwavering commitment is that every short sale packet we send to a lender is in perfect order and includes a true retail contract from a genuine pre-approved buyer. We use the best real estate agents we can find in every market to sell each of our houses for the highest retail price possible.''
Joe Arriaga, who has been a loss mitigation manager for some of the largest banks in the country, says BGS3 backs up what they say.
"BGS3 is by far the best short sale and loss mitigation company I've come across. They do what they say they're going to do. They're honest and we get the deals done.''
BGS3 is serious about its commitment to help both the homeowner and the lender simultaneously. Co-founder Jeremy Bowman states, “In order for our model to work we must protect that trust, on both fronts, at all costs. We require our employees and agents in the field to be strict facilitators of that trust.''
VIDEO: http://www.bgs3.com/realtors.html
Jonathan Bowman, Co-founder of BGS3, states, "Many want to pit the homeowner against the bank and the bank against the homeowner. The hard truth is, in a pre-foreclosure situation, both parties are suffering. Both the lender and the homeowner largely benefit from a neutral third party facilitating a cooperative effort that rescues the homeowner from foreclosure and the lender from financial loss.''
Mortgage lenders lose thousands of dollars when a homeowner stops making their mortgage payment. These holding costs continue to build up until the house is sold. As a result, when it becomes clear that a homeowner can no longer make his or her payments (or qualify for a loan modification or forbearance plan), most lenders are willing to settle the mortgage debt for less than amount owed provided the proper process, documentation, and criteria are completed; this is known as a short sale.
BGS3 facilitates the short sale process between the lender and homeowner, and the lenders are saved significant amounts of money in wasted-holding costs.
In order for most lenders to consider a short sale, there must be a contract from a buyer to purchase the house. With BGS3, lenders don't have to worry about low-ball offers from investors or "phantom buyers'' used just to kick off a short sale negotiation with the lender.
"Bank loss mitigators are overloaded,” says Woods Davis, Vice President of Operations at BGS3. “They don't have time to waste on bogus offers or incomplete paperwork. Our unwavering commitment is that every short sale packet we send to a lender is in perfect order and includes a true retail contract from a genuine pre-approved buyer. We use the best real estate agents we can find in every market to sell each of our houses for the highest retail price possible.''
Joe Arriaga, who has been a loss mitigation manager for some of the largest banks in the country, says BGS3 backs up what they say.
"BGS3 is by far the best short sale and loss mitigation company I've come across. They do what they say they're going to do. They're honest and we get the deals done.''
BGS3 is serious about its commitment to help both the homeowner and the lender simultaneously. Co-founder Jeremy Bowman states, “In order for our model to work we must protect that trust, on both fronts, at all costs. We require our employees and agents in the field to be strict facilitators of that trust.''
VIDEO: http://www.bgs3.com/realtors.html
BGS3 - A Big Win-Win for the Housing Crisis
Federal Reserve Chairman Ben Bernanke recently told bankers that more than 1.5 million subprime mortgages are due to reset soon, saying, “The situation calls for a vigorous response.” In addition to the much-publicized effect this has on American families, banks are facing a daunting amount of potential liability, even if only a fraction of these loans default. Citibank alone is potentially on the hook for nearly $90 billion.
BGS3 uses a comprehensive short sale system and a fully-tested business model that proactively answers the call for a “vigorous response”. BGS3 makes the complex short sale process easy and efficient for agents, banks, homebuyers, and homeowners, while it simultaneously draws all parties together into a proprietary-paperless environment. BGS3 provides all the expert training needed for professionals, including an entire online library of instruction modules. These BGS3 experts are then equipped to find individuals affected by foreclosure, coordinate all the people and entities involved, and efficiently implement the short sale solution.
Realtors who sign up for BGS3’s services also receive hundreds of exclusive, non-public, and highly targeted short sale leads to facilitate this process and, as a result, generate more closings. Homeowners across the country give their information to BGS3 through a variety of websites that offer them help. Through leveraging these leads, in conjunction with BGS3’s finely tuned marketing letter, a Realtor can expect a 5%-10% response rate from homeowners - a big improvement from the typical response rate for direct mail, which is generally around 1%.
On July 31, 2008, Freddie Mac, the second largest mortgage investor in the U.S., announced that it will now pay $2,200 to servicers for each short sale facilitated on mortgages it owns or backs. This financial incentive offered for short sales is 300% more than the amount offered for any other foreclosure workout solution. Ingrid Beckles, Freddie Mac Vice President of Servicing and Asset Management, stated, "We are taking these steps because we want to reinforce the tremendous importance of workouts and reward their use. Giving our servicers…greater compensation to help troubled borrowers is fundamental…to minimize foreclosures." BGS3 offers a unique-customized technology hub through which everyone involved in a short sale can communicate effectively and fulfill the process to closing, ultimately preventing the foreclosure. BGS3’s portal provides all necessary paperwork in one convenient, online location, thereby ridding the process of time consuming elements. From start to finish, BGS3 streamlines the short sale process through BGS3's consolidated and efficient system that is propped up by BGS3's comprehensive technology.
The short sale process is very complex, and because of BGS3’s online-paperless system, BGS3 can process more files than any other company. There are myriad companies with websites that advertise short sale leads or tutorials, but none have the all-in-one system that makes BGS3 a unique entity in this important market.
BGS3 provides all marketing, training, and support for the process of these short sales. Everyone in BGS3's system benefits without causing a direct detriment to anyone else in BGS3's system. The homeowner is saved from foreclosure, the banks significantly mitigate their losses, the Realtor earns a commission, the economy gains from the sale, and the housing market improves by getting rid of surplus inventory. Most importantly, BGS3’s unique system has been meticulously designed to offer all services totally free for the distressed homeowner, even when BGS3 successfully saves them. All BGS3’s fees are paid by Realtors, banks, and homebuyers. This alone immeasurably sets BGS3 apart from any competitors and breeds credibility with homeowners, media sources, and the general public.
VIDEO: http://www.bgs3.com/realtors.html
BGS3 uses a comprehensive short sale system and a fully-tested business model that proactively answers the call for a “vigorous response”. BGS3 makes the complex short sale process easy and efficient for agents, banks, homebuyers, and homeowners, while it simultaneously draws all parties together into a proprietary-paperless environment. BGS3 provides all the expert training needed for professionals, including an entire online library of instruction modules. These BGS3 experts are then equipped to find individuals affected by foreclosure, coordinate all the people and entities involved, and efficiently implement the short sale solution.
Realtors who sign up for BGS3’s services also receive hundreds of exclusive, non-public, and highly targeted short sale leads to facilitate this process and, as a result, generate more closings. Homeowners across the country give their information to BGS3 through a variety of websites that offer them help. Through leveraging these leads, in conjunction with BGS3’s finely tuned marketing letter, a Realtor can expect a 5%-10% response rate from homeowners - a big improvement from the typical response rate for direct mail, which is generally around 1%.
On July 31, 2008, Freddie Mac, the second largest mortgage investor in the U.S., announced that it will now pay $2,200 to servicers for each short sale facilitated on mortgages it owns or backs. This financial incentive offered for short sales is 300% more than the amount offered for any other foreclosure workout solution. Ingrid Beckles, Freddie Mac Vice President of Servicing and Asset Management, stated, "We are taking these steps because we want to reinforce the tremendous importance of workouts and reward their use. Giving our servicers…greater compensation to help troubled borrowers is fundamental…to minimize foreclosures." BGS3 offers a unique-customized technology hub through which everyone involved in a short sale can communicate effectively and fulfill the process to closing, ultimately preventing the foreclosure. BGS3’s portal provides all necessary paperwork in one convenient, online location, thereby ridding the process of time consuming elements. From start to finish, BGS3 streamlines the short sale process through BGS3's consolidated and efficient system that is propped up by BGS3's comprehensive technology.
The short sale process is very complex, and because of BGS3’s online-paperless system, BGS3 can process more files than any other company. There are myriad companies with websites that advertise short sale leads or tutorials, but none have the all-in-one system that makes BGS3 a unique entity in this important market.
BGS3 provides all marketing, training, and support for the process of these short sales. Everyone in BGS3's system benefits without causing a direct detriment to anyone else in BGS3's system. The homeowner is saved from foreclosure, the banks significantly mitigate their losses, the Realtor earns a commission, the economy gains from the sale, and the housing market improves by getting rid of surplus inventory. Most importantly, BGS3’s unique system has been meticulously designed to offer all services totally free for the distressed homeowner, even when BGS3 successfully saves them. All BGS3’s fees are paid by Realtors, banks, and homebuyers. This alone immeasurably sets BGS3 apart from any competitors and breeds credibility with homeowners, media sources, and the general public.
VIDEO: http://www.bgs3.com/realtors.html
Tuesday, September 9, 2008
BGS3 News - Federal Takeover of Freddie Mac and Fannie Mae
BGS3 News Update:
On Sunday, September 7, 2008, the U.S. Government put loan giants Freddie Mac and Fannie Mae under its conservatorship. This event has been met with strong optimism and pessimism from all sides, and it is still unclear exactly what will happen because of this change.
However, one point that seemingly all sides agree on is that foreclosure rates are on the rise. Even if the Federal takeover does improve the situation, the shift in foreclosure rates will not be instantaneous.
BGS3 has been fighting the increase of foreclosure rates in America ever since the launch of Program 3648. Regardless of whether Freddie Mac and Fannie Mae are owned by the government or private investors, the simple truth is that foreclosures all across the nation must be prevented to the benefit of all parties involved; this has been the goal of BGS3 all along. BGS3's Certified Program 3648 Representatives are continuing to assist troubled homeowners at no cost to them, short-selling homes to buyers at prices that keep the market moving, and minimizing losses for banks that would otherwise have no choice but to foreclose on the properties.
This historic change serves as proof that the increase in foreclosures is a serious problem that must be stopped. That is why BGS3 is proud to create a win-win situation assisting Realtors, homeowners, banks, homebuyers, and the economy. As it becomes clearer what the real ripple effect of the bailout will be, BGS3 will make sure to post it here.
In addition to updates, the BGS3 blog also serves as an opportunity for feedback from you, the reader. BGS3 often receives messages from raving fans, and will occasionally use the BGS3 blog to post comments and testimonials.
"I have really enjoyed my working relationship with BGS3 and considered many negotiators before choosing one to align my business with. They really seem to have the best interest of the home owner in mind and their goal is as much (if not more) about keeping the home owner out of foreclosure as it is about making money. As this business changes, they have been flexible in my requests to them and are open to new ideas and business models. They email me back right away when I have questions and I always seem to have a lot of them. They have been a joy to work with and I look forward to building my business with them."
On Sunday, September 7, 2008, the U.S. Government put loan giants Freddie Mac and Fannie Mae under its conservatorship. This event has been met with strong optimism and pessimism from all sides, and it is still unclear exactly what will happen because of this change.
However, one point that seemingly all sides agree on is that foreclosure rates are on the rise. Even if the Federal takeover does improve the situation, the shift in foreclosure rates will not be instantaneous.
BGS3 has been fighting the increase of foreclosure rates in America ever since the launch of Program 3648. Regardless of whether Freddie Mac and Fannie Mae are owned by the government or private investors, the simple truth is that foreclosures all across the nation must be prevented to the benefit of all parties involved; this has been the goal of BGS3 all along. BGS3's Certified Program 3648 Representatives are continuing to assist troubled homeowners at no cost to them, short-selling homes to buyers at prices that keep the market moving, and minimizing losses for banks that would otherwise have no choice but to foreclose on the properties.
This historic change serves as proof that the increase in foreclosures is a serious problem that must be stopped. That is why BGS3 is proud to create a win-win situation assisting Realtors, homeowners, banks, homebuyers, and the economy. As it becomes clearer what the real ripple effect of the bailout will be, BGS3 will make sure to post it here.
In addition to updates, the BGS3 blog also serves as an opportunity for feedback from you, the reader. BGS3 often receives messages from raving fans, and will occasionally use the BGS3 blog to post comments and testimonials.
"I have really enjoyed my working relationship with BGS3 and considered many negotiators before choosing one to align my business with. They really seem to have the best interest of the home owner in mind and their goal is as much (if not more) about keeping the home owner out of foreclosure as it is about making money. As this business changes, they have been flexible in my requests to them and are open to new ideas and business models. They email me back right away when I have questions and I always seem to have a lot of them. They have been a joy to work with and I look forward to building my business with them."
-Ellen Muzzio
VIDEO: http://www.bgs3.com/realtors.html
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