Is it Over?
For the last sixty years, on the birthday of American write Edgar Allen Poe, January 19, a mysterious stranger has always appeared during the night to leave three roses and a half-bottle of cognac on his grave. This year, 2010, the Associated Press is reporting that the mysterious stranger did not appear.
This event has become a “must see” for die-hard Poe fans. Many fans had travelled from all over the country to stand outside the cemetery to await the appearance of the mysterious stranger.
More than three dozen disappointed Poe fans huddled in the cold on the night of January 19th, when the stranger failed to appear. Last year marked the 200th anniversary of Poe’s birth, so many speculate that the stranger probably thought it was a good time to end the tradition.
“Edgar Allan Poe (January 19, 1809 – October 7, 1849) was an American writer, poet, editor and literary critic, considered part of the American Romantic Movement. Best known for his tales of mystery and the macabre, Poe was one of the earliest American practitioners of the short story and is considered the inventor of the detective-fiction genre. He is further credited with contributing to the emerging genre of science fiction.[1] He was the first well-known American writer to try to earn a living through writing alone, resulting in a financially difficult life and career.” -Wikipedia
Tuesday, January 19, 2010
Thursday, January 14, 2010
Let it snow! Let it snow! Let it snow!
Snow Snow Snow It snowed a little over one inch –that’s right 1.0 inch- last Thursday. We were stuck for days. Actually we were stuck until Monday. On Monday and Tuesday, I couldn’t get out of the driveway and my neighbor loaned me her car. Our drive is located on an “upslope” so once the snow froze, we couldn’t get up that hill. Finally, yesterday, Wednesday, we were able to get out on our own. It was a bit “dicey” and we had to be careful but we make it. Temperature is getting warmer each day.
One added bit on excitement in cabin fever living-Tuesday night we lost our water. We had nothing. So no shower Wednesday morning, among other, unnamed, inconveniences. We are on a shared well with 8 other houses. After an investigation and search, we discovered that one of the houses day the was, whose owners are only here on weekend, had a burst pipe, Their garage was flooded. All the water rushed from the pipe and effectively emptied our well. Once the water was cut off to that pipe, the water came back. I love living in the mountains!
One added bit on excitement in cabin fever living-Tuesday night we lost our water. We had nothing. So no shower Wednesday morning, among other, unnamed, inconveniences. We are on a shared well with 8 other houses. After an investigation and search, we discovered that one of the houses day the was, whose owners are only here on weekend, had a burst pipe, Their garage was flooded. All the water rushed from the pipe and effectively emptied our well. Once the water was cut off to that pipe, the water came back. I love living in the mountains!
Tuesday, November 24, 2009
Real Life Closing Issue
Last Minute Problems
What can go wrong at a closing? Sometimes when you think you have a “slam-dunk” closing and everything is going great, you get blindsided by a last minute problem.
The bank was selling a lot that they had acquired upon foreclosure of a builder’s “spec” home. It was a cash sale so nothing should have gone wrong. Good title and Good Buyer. Nothing could go wrong.
As we approached the closing date we were making inquires about the water system. This subdivision had a water/well system run by a private company. Upon first contact, the water company was unable to find any records on this property. They would call us back.
Closing day, two hours before closing, they call back and say they now have their records updated and have looked at the situation with this lot. It seems the Builder tapped into that water/well system without permission and, most importantly, without paying the $1800 “tap on fee”! They wanted the $1800 tap on fee or the buyer would have no water.
The bank was innocent. The buyer was innocent. The builder was the “bad guy” in this situation but he was gone, leaving others to pick up after him. Then began a lot of phone calls and conversations about who was to pay the $1800 tap on fee. Buyers wanted the bank to pay; the bank wanted a contribution for part of it from the buyer and/or a contribution from the real estate agent.
Lots of little meetings and discussions at the closing but the bank finally agreed to pay. The buyers were happy and the bank had learned a lesson, maybe. Whenever there is a foreclosure the bank gets what the owner owns, along with possible problems.
Have a Happy Holiday!!
What can go wrong at a closing? Sometimes when you think you have a “slam-dunk” closing and everything is going great, you get blindsided by a last minute problem.
The bank was selling a lot that they had acquired upon foreclosure of a builder’s “spec” home. It was a cash sale so nothing should have gone wrong. Good title and Good Buyer. Nothing could go wrong.
As we approached the closing date we were making inquires about the water system. This subdivision had a water/well system run by a private company. Upon first contact, the water company was unable to find any records on this property. They would call us back.
Closing day, two hours before closing, they call back and say they now have their records updated and have looked at the situation with this lot. It seems the Builder tapped into that water/well system without permission and, most importantly, without paying the $1800 “tap on fee”! They wanted the $1800 tap on fee or the buyer would have no water.
The bank was innocent. The buyer was innocent. The builder was the “bad guy” in this situation but he was gone, leaving others to pick up after him. Then began a lot of phone calls and conversations about who was to pay the $1800 tap on fee. Buyers wanted the bank to pay; the bank wanted a contribution for part of it from the buyer and/or a contribution from the real estate agent.
Lots of little meetings and discussions at the closing but the bank finally agreed to pay. The buyers were happy and the bank had learned a lesson, maybe. Whenever there is a foreclosure the bank gets what the owner owns, along with possible problems.
Have a Happy Holiday!!
Monday, November 2, 2009
LEGAL ISSUES…LEGAL NOTES…PERSONAL PERSPECTIVES
New Changes for HUD and GFE
The Department of Housing and Urban Development (HUD) has issued a “Final Rule” for the Real Estate Settlement and Procedures Act (RESPA). The Final Rule contains the most drastic and comprehensive changes made to the HUD and the Good Faith Estimate (GFE) in the last 30 years. The new forms (HUD Settlement Statement and Good Faith Estimate) attempt to clarify and simplify the overall mortgage and closing process while reducing the fees for the consumer. Whether that goal is accomplished is yet to be determined.
“THE FINAL RULE”
The new HUD and new GFE become effective on January 1, 2010. In some cases the new GFE will appear prior to January 1 when applications are taken in November or December (2009) but the anticipated closing date is after January 1, 2010.
The new GFE has sections that directly correspond to sections on the HUD Settlement Statement. The new GFE mandates when and how it is to be issued and distributed to potential borrowers. The following is an overview of the more interesting changes under the Final Rule:
There is to be no more “Application Fee”. The only fee that can be required by the Lender at the time of application is one that equals the cost of a credit report. At Closing, most Lender fees MUST be exactly as disclosed on the GFE.
Real estate Commissions are to be handled and disclosed differently than in the past. The Earnest Money will be directly deducted from the Seller’s proceeds. The Commission shown on the HUD will reflect the deduction of the Earnest Money. The Commission sales percentage will no longer appear on the final HUD.
Probably the biggest change on the HUD in terms of disclosure pertains to fees for the Title Charges in line 1100 series. With the new GFE only one fee will be entered that includes attorney fees, title examination, title binder, Lender Title Insurance, delivery, notary fees, express or overnight fees, mail-out fees and/or document preparation fees (etc). The fees for each service can be itemized on the HUD but the fees MUST correspond to the fees quoted on the GFE. The Owners’ Title Insurance fee will be quoted separately in the GFE and on the HUD on line 1103. These fees can change from the original GFE but must stay within a ten (10%) aggregate tolerance level. This is calculated and disclosed on the third page of the HUD. That is another change: all HUDs will be at least three pages but could be longer.
ALL Settlement costs must appear on the HUD as being paid by the Borrower. If the Seller has agreed to pay some or all of the settlement costs, that amount will appear as a credit/debit on the front page of the HUD. The HUD cannot reflect the Seller being charged with any settlement costs
There is much more, but I think you can get the gist of it from this information. To see an actual copy of the new GFE and HUD, go to my web site, www.relawyer.com, and click on “New GFE and HUD 2010.”
JBW
The Department of Housing and Urban Development (HUD) has issued a “Final Rule” for the Real Estate Settlement and Procedures Act (RESPA). The Final Rule contains the most drastic and comprehensive changes made to the HUD and the Good Faith Estimate (GFE) in the last 30 years. The new forms (HUD Settlement Statement and Good Faith Estimate) attempt to clarify and simplify the overall mortgage and closing process while reducing the fees for the consumer. Whether that goal is accomplished is yet to be determined.
“THE FINAL RULE”
The new HUD and new GFE become effective on January 1, 2010. In some cases the new GFE will appear prior to January 1 when applications are taken in November or December (2009) but the anticipated closing date is after January 1, 2010.
The new GFE has sections that directly correspond to sections on the HUD Settlement Statement. The new GFE mandates when and how it is to be issued and distributed to potential borrowers. The following is an overview of the more interesting changes under the Final Rule:
There is to be no more “Application Fee”. The only fee that can be required by the Lender at the time of application is one that equals the cost of a credit report. At Closing, most Lender fees MUST be exactly as disclosed on the GFE.
Real estate Commissions are to be handled and disclosed differently than in the past. The Earnest Money will be directly deducted from the Seller’s proceeds. The Commission shown on the HUD will reflect the deduction of the Earnest Money. The Commission sales percentage will no longer appear on the final HUD.
Probably the biggest change on the HUD in terms of disclosure pertains to fees for the Title Charges in line 1100 series. With the new GFE only one fee will be entered that includes attorney fees, title examination, title binder, Lender Title Insurance, delivery, notary fees, express or overnight fees, mail-out fees and/or document preparation fees (etc). The fees for each service can be itemized on the HUD but the fees MUST correspond to the fees quoted on the GFE. The Owners’ Title Insurance fee will be quoted separately in the GFE and on the HUD on line 1103. These fees can change from the original GFE but must stay within a ten (10%) aggregate tolerance level. This is calculated and disclosed on the third page of the HUD. That is another change: all HUDs will be at least three pages but could be longer.
ALL Settlement costs must appear on the HUD as being paid by the Borrower. If the Seller has agreed to pay some or all of the settlement costs, that amount will appear as a credit/debit on the front page of the HUD. The HUD cannot reflect the Seller being charged with any settlement costs
There is much more, but I think you can get the gist of it from this information. To see an actual copy of the new GFE and HUD, go to my web site, www.relawyer.com, and click on “New GFE and HUD 2010.”
JBW
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