Changes in HARP & HAFA are the HOT topic !!

It seems like a relatively small thing, but it would appear that everyone is talking about recent adjustments to the HARP & HAFA programs, and I mean everyone. The subject has caught on with the American public and they’re not letting it go! An obvious explanation would be concern over hundreds of thousands of upsidedown mortgages and their residual effect on almost everyone else’s home values. But I think it goes much deeper than that.

For those of you who have been living in a cave for the past 2 ½ years, HARP AND HAFA, are part of the current administration’s Making Home Affordable program, which was implemented in February of 2009. The premise is to provide homeowners with alternatives to foreclosure through refinance, short sale or deed-in-lieu. Until now this program has received less than stellar reviews. But the most recent updates will possibly (possibly being the operative word) give this program the jump-start it has lacked so far.

NOTE: contrary to popular opinion the enhancements to HARP and HAFA have not taken effect yet. In fact they have not even been finalized and are not scheduled to be for several weeks, with an implementation date months out.

The proposed modifications should help underwater homeowners refinance at today’s low rates by lifting the 125% loan-to-value restraint… this is HUGE! Proposed changes also void the requirement of a new appraisal in favor of automated estimates, and eliminate several risk-based fees.

Now here’s where I believe the overwhelming interest in these adjustments is coming from. For the very first time since 2009, “reality” is being addressed. Previous guidelines seemed to assume that the real estate and job markets were not going to get worse, and that the only homeowners needing assistance would be those who were already behind in their payments. At a time when virtually every economist predicted several years of negative growth in our economy, and more to the point in our real estate market, HARP materialized as nothing more than a symbolic gesture. Unfortunately the economists were right and the symbolism of HARP only infuriated us all.

I’m going to choose to be optimistic about these impending developments with HARP & HAFA. They’re far from revolutionary but definitely a step in the right direction.

.. and now for the good news

Incase you hadn't noticed, I'm all about the good news. There are plenty of media outlets for the bad, the sad, the disturbing, and the depressing. I like to be the one who brings you the positive stuff. It doesn't always have to be about financing or the economy, although those are really popular subjects here. I love good news of any kind, and I found a ton of it today!

Did you know:

- The rate of Heart Disease in the US has been falling since 2006. According the U.S. Centers for Disease Control, the decrease is due largely to education, better treatments for high blood pressure and cholesterol, and a decline in smoking.

- Home Builder confidence is up. Last month showed a positive reaction in the home buying/building market that hasn't been seen for over a year.

- Paraplegic Skier is able to walk again. An amazing device the size of an ipod, is allowing people with multiple sclerosis, cerebral palsy and traumatic brain injuries, restored mobility through electrical impulses sent to the nerves.

- US Troops to receive care packages. In the relatively small city of Prescott Arizona, Realtors are assembling 1000 care packages to send to our troops overseas by Christmas. A quote in The Daily Courier states that Arizona Army National Guard Sgt. Douglas Rowe said "When you're deployed overseas you look forward to receiving a package from your family, but receiving one sent from someone you don't know is 'really neat".

- No more Cell Phone bill bombshells. This may not sound like much to most folks, but for anyone who is a parent this is a drug-free sleep aid. Under the threat of new regulations, cell phone providers have agreed to send free alerts to customers who are about to exceed their monthly voice, text or data limits. Whoo Hoo!!

- States and servicers are considering aid to underwater homeowners. Ok, I had to throw in a little financing info. Like the return of the Swallows to Capistrano, I am helplessly drawn to financing knowledge. At any rate, there is a report on DSNews.com indicating that ongoing negotiations between state attorneys general and mortgage servicers aim to improve refinance options for underwater homeowners.

- And one wondrous product! Every guy should know about this... the ultimate condiment, a MUST for every cookout. Have you heard about Baconaise?? The perfect blend of mayonnaise and bacon flavors. Awesome!!

I initially thought about apologizing for the length of today's blog, but I decided that you can't ever have too much good news. Go out there and have a GREAT day. Tell everyone you meet to have a GREAT day, smile when you say it, and be sure to come back and visit us again  =)

Social Security changes numbering rules

On June 1, 2011, the Social Security Administration started issuing new numbers randomly instead of geographically. They say the new method should help to reduce identity theft.

 

Social Security will now issue numbers with a 7 or 8 in position 1. Previously, these numbers were reserved for people in the Railroad Retirement system and people from outside the country. The following rules will continue as before:

 

-No SSNs will be issued with the numbers "666" in the first or third part of the number.

-No SSNs will be issued with the number "00" in the middle.

 

-No SSNs will be issued with the number "0000" as the last section of the number.

-No SSN will be assigned with the number 123-45-6789.