Miranda Tsotsoria

Sales Associate

House Staging
Saturday, January 24th 2009

Nowadays, people in New Jersey tend to have a lot of personal belongings, making the amount of storage space in a home a priority for many buyers. Older homes and condominiums, in particular, tend to have less storage space than some of the newer, larger homes.

Sellers can maximize their home's appeal by organizing and purging their belongings -- all while giving them a head start on packing for their move. Consider these tips to make sure sparse storage isn't the first thing buyers notice:

Stick to the basics: Prospective buyers should look inside closets and think that there will be plenty of room for all of their belongings. To avoid a packed closet, remove anything that is not used regularly, such as out-of-season clothing and formal wear. Pack these items up in labeled boxes and store them neatly under the bed, or in the attic, garage or basement.

Details matter: Think of your closets the same way you would any other room in your house. According to experts, painting the inside of closets a bright, neutral color and installing adequate lighting can make a great impression. In addition, use consistently sized and shaped hangers, and group similar clothing items together and facing the same direction.

Show functional options: If you have rooms in your house that have little or no storage space, make up for it by being creative. For example, if you have attractive pots, hang them on a pot rack. Utilize an under-bed trundle or a toy chest that can double as a bench or table in a children's bedroom or playroom, rather than clutter the closet or floor with toys.

Resources to Turn to When You Fear Foreclosure
Friday, January 2nd 2009

The United States Joint Economic Committee recently reported that New Jersey ranked 13th in the nation in foreclosures. If you are among this group of citizens, you are probably looking for solutions. Fortunately, we have some to offer.

If you are facing foreclosure, there are resources available that will help you find a solution. Every day people who work in various agencies and organizations throughout the state talk with folks in your situation. Here is some basic information to get you started; important fact sheets to give you the details you need to help yourself; Web links and phone numbers so that you can learn more about state and local programs and resources.

GETTING STARTED

Foreclosure is a legal process in which mortgaged property is sold to pay the loan of the defaulting borrower. Foreclosure laws are based on the statutes of each state and so timelines vary.

Foreclosure doesn’t happen overnight – it starts with financial difficulties. Ask yourself the following:

  • Has your financial situation changed due to an increase in your mortgage payment, a change in your family life, a medical emergency, job loss or other reasons?
  • Are you using your credit card to buy groceries?
  • Is it becoming difficult to pay your bills on time?

As budgets collapse, mortgage payments are missed. It only takes a series of missed payments for the foreclosure process to begin. Whether you are struggling to pay your bills or are already missing payments, you can get help today.

You have the option of picking up the phone and learning about resources that could make all the difference. Here are a few things you can do today:

  • Call your lender and explain your financial situation. Very often they will be able to suggest a manageable solution.
  • Call a financial counselor who knows how the situation works.
  • Carefully consider your spending habits, your current assets and your capabilities. Look for ways to limit your expenses. Ask yourself if there are assets you can sell.
  • Learn more about foreclosure and the resources that will help you avoid it.
SPECIFIC SERVICES TO HELP YOU

All of the resources listed on this page have more information about foreclosure on their Web sites. The U.S. Department of Housing and Urban Development (HUD) through the Federal Housing Administration (FHA) provides comprehensive information about how to avoid foreclosure with special emphasis on alternative arrangements that you may be able to reach with your lender. Read their Guide to Avoiding Foreclosure .

Foreclosure Prevention Counseling
  • Online and telephone counseling is available through the Homeownership Preservation Foundation. This organization is dedicated to helping homeowners avoid foreclosure. Their toll-free hotline is staffed with trained counselors and is open 24 hours a day, 7 days a week. You can reach them by phone at 888.995.HOPE (888-995-4673).
  • For a current list of housing counseling agencies in New Jersey who have partnered with the NJ Housing and Mortgage Finance Agency (HMFA) click here.These counselors have been specifically trained in foreclosure prevention and asset preservation.
  • Free or low cost advice from housing counseling agencies that have been sponsored through the US Department of Housing and Urban Development (HUD) is available in our state. Here is a list of HUD Approved Counselors.
Mortgage Refinancing Options
  • For increased access to credit and loan counseling and temporary assistance if you are in immediate danger of foreclosure call NJ HOPE. They have information on available mortgage products and funding too. NJ HOPE is a voluntary public/private alliance of government agencies, non-profit organizations, and financial institutions, committed to home ownership preservation. You can reach them at 888-995 HOPE or visit the NJ HOPE Web site to learn more.
  • Mortgage refinance programs are available through the Neighborhood Assistance Corporation of America (NACA) This national non-profit community advocacy and housing services organization offers free counseling and will take you through the refinancing process. You can learn more and start the online application by clicking here.
  • An affordable financing alternative to borrowers whose current mortgage is no longer suitable for their financial situation is available through the New Jersey Housing and Mortgage Finance Agency’s Homeownership Preservation Refinance Program (HPRP). Applications must be submitted through HPRP participating lenders. More information on this program along with a link to a list of the lenders is here. You can reach them by phone at 800-NJ-HOUSE (800-654-6873)
  • If you are having trouble making your mortgage payments, HOPE for Homeowners (H4H) may be able to help you,by refinancing your loan into a new 30-year or 40-year fixed-rate loan with lower payments. To find out if you are eligible, you must call your lender and inquire with them. More information on this program is available here or by calling 800-CALL-FHA (800-225-5342).
  • Families with strong credit histories who had been making timely mortgage payments before their loans reset, but are now in default, may qualify for refinancing under the FHASecure plan.

To qualify for FHASecure, eligible homeowners must meet the following five criteria:

1. A history of on-time mortgage payments before the borrower's teaser rates expired and loans reset
2. Interest rates must have or will reset between June 2005 and December 2008
3. Three percent cash or equity in the home
4. A sustained history of employment
5. Sufficient income to make the mortgage payment

To learn more about FHASecure call 800-CALL-FHA (225-5342) or read their fact sheet.
Mortgage Assistance when Homes are in Need of Repair

If your home is in need of repair, you may be eligible for help through the Refinance Rehabilitation Program. This program was created to assist current home owners by refinancing the existing mortgage. A portion of the refinancing must be used for rehabilitation of the house. Learn more.

Mortgage Assistance for Military Personnel

Mortgage payment relief and protection from foreclosure is provided to active military personnel and reservists through the Servicemembers Civil Relief Act (SCRA). To be eligible for this program you must have had mortgage commitments before enlisting or being called to active duty. Reservists, guardsmen and other eligible servicemembers should contact their lenders and other creditors and provide documentation that they have been called to active duty and are eligible for certain relief under the SCRA. To learn more about this program you can call 800-CALL-FHA (225-5342) or read their fact sheet.

Borrower Assistance Programs Offered Through Banks

As part of the NJ HOPE initiative, banks may offer a variety of borrower assistance programs such as mortgage refinance loans, closing cost assistance, waiving of private mortgage insurance requirements and credit counseling

Bank of America

Current Bank Customers:
1ST Mortgages:  1-800-846-2222
Home Equity or Lines of Credit:  1-800-451-6362

Non-Customers of Bank of America:
1-800-861-5550

Citigroup

For Nonprofit Homeownership Counselors: 
1-866-517-0820 for borrowers with a Citi loan or for whom Citi/CMI is the servicer
1-800-864-3428 for borrowers for whom Citi Residential is the servicer

HSBC Finance

1-800-340-7505

PNC Bank

Vanessa Nazario, Assistant Vice President
Affordable Mortgage Product Manager
609-860-1006

Wachovia

Wachovia Mortgage Corporation: 1-866-642-9405

Emergency Financial Assistance:

Homeless Prevention Program - This program provides limited financial assistance to low and moderate income tenants and homeowners in imminent danger of eviction or foreclosure due to temporary financial problems beyond their control. To learn more, call 866-889-6270 .

Services Once the Foreclosure Process Has Begun

Mediation The Foreclosure Mediation Program was created to assist homeowners in foreclosure actions. They will provide mediators to help homeowners and lenders negotiate with one another and try to work out agreements to avoid foreclosure. For more information, call 609-292-8470.

Legal Aid By dialing a toll-free number, 1-888-LSNJ-LAW (1-888-576-5529), callers can access a statewide legal hotline which provides legal information, advice and referral to low-income residents of New Jersey with civil legal problems (criminal cases are referred). This service is provided at no charge but applicants must be financially eligible to qualify. The hotline handles all cases over the telephone and does not provide ongoing legal representation.. You may be able to find answers to your legal problems on their self-help Web site, www.lsnjlaw.org. The hotline is open from Monday through Friday, 8:00 a.m. to 5:30 p.m.

Tenants Rights are Protected in the Event of Foreclosure

Residential tenants in New Jersey cannot be evicted solely because the property where they live is in foreclosure or has been foreclosed. The law protects tenants against eviction and provides some protection from utilities being shut-off. To learn more, call the New Jersey Tenants’ Organization at 201-342-3775 or the New Jersey Department of the Public Advocate, Office of Citizen Relations at 609-826-5070.

Lawyer Referral Services

Following is a listing of county bar associations that offer lawyer referral services. Locate your county of residence and contact the appropriate service. Do not contact referral services that are outside of your local county.

Atlantic County Bar Association
Atlantic County Court House, 1201 Bacharach Blvd.,
Atlantic City 08401
(609) 345-3444; Fax: (609) 345-6279
E-Mail: atcobara@aol.com
President: Michael A. Gill
Exec. Dir.:Mary Williams Berard

Burlington County Bar Association
45 Grant St.,
Mount Holly 08060
(609) 261-4862; Fax: (609) 261-5423
Internet: www.burlcobar.org
Director: Kara E. Edens

Bergen County Bar Association
15 Bergen Street,
Hackensack 07601
(201) 488-0044
Administrator: Lucy Vargues
Internet: www.bergenbar.org

Camden County Bar Association
1040 N. Kings Highway, Suite 201
Cherry Hill 08034
(856) 482-0618; Fax:(856) 482-0637
Lawyer Referral Service: (856) 482-0618
Internet: www.camdencountybar.org
Exec. Dir.:Laurence B. Pelletier

Cape May County Bar Association
Rt. 9, Main St., P.O. Box 425,
Cape May Court House 08210
(609) 463-0313; Fax:(609) 778-1193
E-Mail: cmcba@comcast.net
Director: Susan Fuller

Cumberland County Bar Association
P.O. Box 2374
Vineland, NJ 08362
(856) 453-7000; Fax: (856) 453-7008
Internet: www.cumbnjbarassoc.org
E-Mail: info@cumbnjbarassoc.org
Executive Director: Eleanore Mesiano

Essex County Bar Association
Essex County Historic Courthouse
470 Dr. Martin Luther King Jr. Blvd.
Room B01
Newark, NJ 07102
973-622-6207; Fax: 973-622-4341
Lawyer Referral Service: 973-622-6204
E-mail: info@essexbar.com
Internet: www.essexbar.com

Gloucester County Bar Association
Justice Complex, P.O. Box 338,
Woodbury 08096
(856) 848-4589
Executive Director: Lynn Silverstein (856) 848-4071
Email: baroffice@gcbanj.org
Internet: www.gcbanj.org

Hudson County Bar Association
583 Newark Ave.,
Jersey City 07306
(201) 798-2727; Fax:(201) 798-1740
Director: Lisa Burke
Internet: www.hcba.law@verizon.net

Hunterdon County Bar Association
P.O. Box 573
Annandale 08801
(908) 236-6109; Fax: (908) 236-6119
Director: Jeannine Gorman
E-mail: hcba@patmedia.net

Mercer County Bar Association
1245 Whitehorse Mercerville Rd, Suite 420,
Hamilton 08619
(609) 585-6200; Fax:(609) 585-5537
E-mail: info@mercer.com
Internet: www.mercerbar.com
Director:Francine Kowalczyk

Middlesex County Bar Association
87 Bayard St.,
New Brunswick 08901
(732) 828-0053
Exec. Dir.:Jonathan P. Cowles
E-mail: admin@mcbalaw.com
Internet: www.mcbalaw.com
Administrator: Pattyann Pulda

Monmouth Bar Association
Court House,
Freehold 07728
(732) 431-5544; Fax:(732) 431-2843
Executive Director: Tracey A. Maciewicz

Morris County Bar Association
28 Schuyler Place,
Morristown 07960
(973) 267-5882; Fax:(973) 605-8325
Internet: www.morriscountybar.com/lawyer_referral/index.htm
Coordinator: Yorelis Perez

Ocean County Bar Association
Courthouse, P.O. Box 381,
Toms River 08753
(732) 240-3666; Fax: (732) 240-4907
Internet: www.oceancountybar.org
Coordinator: Karin Poola

Passaic County Bar Association
Courthouse 77, Hamilton St.,
Paterson 07505
(973) 278-9223
Secretary: Diane Grosso
Internet: www.passaicbar.org

Salem County Bar Association
(856)935-5629
Internet: www.salemcountybar.org

Somerset County Bar Association
Courthouse, 10 N. Bridge St., P.O. Box 1095,
Somerville 08876
(908) 685-2323; Fax: (908) 685-9839
Administrator: Hedily S. Wendover
Internet: www.somersetbar.com

Union County Bar Association
Courthouse, 1st Floor,
Elizabeth 07207
(908) 353-4715; Fax: (908) 354-8222
Exec. Dir.: Jeffrey M. Clar
Administrator: Tracy Foster
Internet: www.uclaw.com
Monday-Thursday, 10 A.M.-1 P.M.

Warren County Bar Association
413 Second St.,
Belvidere, NJ 07823
(908) 387-1835
Executive Director, Maura Pocquat

 
LEARN MORE

Avoiding Foreclosure Scams

The thought of losing one’s home through foreclosure is a frightening prospect. In desperation, many homeowners fall victim to con artists who offer to help them save their homes, but ultimately make the situation worse.These con artists cheat homeowners out of thousands of dollars and their homes through deceit, deception and lies. Read more

"Predatory lending" has become shorthand for describing a variety of lending practices that may be disadvantageous to borrowers. It can mean any type of abusive lending practice where the lender benefits through unworthiness, deceit, misrepresentation, bad faith, or dishonesty. Learn more

How to file a complaint with the NJ Department of Banking and Insurance

If you think you have been victimized by predatory lending practices, want to file an inquiry or lodge a formal complaint, you can do so by:

Phone: 609-292-7272 or 800-446-7467 (Consumer Hotline)

Fax: 609-777-0508

Mail: NJDOBI, P.O. Box 471, Trenton, NJ 08625-0471

Instructions and downloadable forms are available at their Web site.

Glossary of Mortgage Terms Understand the financial terms that are used when speaking about mortgages and refinancing. Use this glossary of mortgage terms as your reference guide.

Mortgage Calculator

Determine what mortgage you can really afford by using this mortgage calculator.

These lenders have been approved by the NJ Housing and Mortgage Finance Agency Approved Lender List for HMFA Program Participation

 
Buying bank owned properties in New Jersey
Saturday, November 29th 2008
There is a lot of interest in buying bank owned properties these days in Chester, Mendham, Long Valley, Hackettstown, or in any other portions of the northern new jersey. A lot of information, some good and some bad, is floating around about the subject. Often the information offered is for sale, with the promise that you can make a lot of money with little effort once you know “the secret formula”.  The fact is that there are no secrets, and to make money does require effort.

What’s an REO?
REO stands for “Real Estate Owned”.  These are properties that have gone through foreclosure and are now owned by the bank or mortgage company.  This is not the same as a property up for foreclosure auction.  When buying a property during a foreclosure sale, you must pay at least the loan balance plus any interest and other fees accumulated during the foreclosure process.  You must also be prepared to pay with cash in hand.  And on top of all that, you’ll receive the property 100% “as is”.  That could include existing liens and even current occupants that need to be evicted.  A REO, by contrast, is a much “cleaner” and attractive transaction.  The REO property did not find a buyer during foreclosure auction.  The bank now owns it.  The bank will see to the removal of tax liens, evict occupants if needed and generally prepare for the issuance of a title insurance policy to the buyer at closing.  Do be aware that REO’s may be exempt from normal disclosure requirements.  In California, for example, banks are exempt from giving a Transfer Disclosure Statement, a document that normally requires sellers to tell you about any defects they are aware of.

Is it a bargain?
It’s commonly assumed that any REO must be a bargain and an opportunity for easy money.  This simply isn’t true.  You have to be very careful about buying a REO if your intent is to make money off of it.  While it’s true that the bank is typically anxious to sell it quickly, they are also strongly motivated to get as much as they can for it.  When considering the value of a REO, you need to look closely at comparable sales in the neighborhood and be sure to take into account the time and cost of any repairs or remodeling needed to prepare the house for resale.  The bargains with money making potential exist, and many people do very well buying foreclosures.  But there are also many REO’s that are not good buys and not likely to turn a profit. 

Ready to make an offer?
Most banks have a REO department that you’ll work with in buying a REO property from them.  Typically the REO department will use a listing agent to get their REO properties listed on the local MLS.  Before making your offer, you’ll want to contact either the listing agent or REO department at the bank and find out as much as you can about what they know about the condition of the property and what their process is for receiving offers.  Since banks almost always sell REO properties “as is”, you’ll want to be sure and include an inspection contingency in your offer that gives you time to check for hidden damage and terminate the offer if you find it.  As with making any offer on real estate, you’ll make your offer more attractive if you can include documentation of your ability to pay, such as a pre-approval letter from a lender.  After you’ve made your offer, you can expect the bank to make a counter offer.  Then it will be up to you to decide whether to accept their counter, or offer a counter to the counter offer.  Realize, you’ll be dealing with a process that probably involves multiple people at the bank, and they don’t work evenings or weekends.  It’s not unusual for the process of offers and counter offers to take days or even weeks.

To search foreclosures in new jersey and buy real estate in Chester, Mendham, Long valley, Hackettstown, or in any other parts of the state please visitforclosure search section of our website.
New Home Sales Fall 5.3% in October 2008
Wednesday, November 26th 2008

New home sales in the U.S. fell more than expected, declining 5.3% in October to an annual pace of 433,000, according to a report from the Commerce Department on Wednesday. The previous month's gain was revised downward to 0.7%.

Economists were expecting October data to fall 5.0% to 441,000, from the originally reported September figure of 464,000, which was revised down to 457,000. Inventories rose to a pace of 11.1 months, up from a 10.9-month supply in September.

The median sale price of new houses fell to $218,000, down from $221,700 in September. Annually, prices have fallen 12.2%.

Regionally, the report was mixed. In the West, the pace of sales fell from 111,000 in September to 91,000 in October.

The pace of sales in the Midwest fell to 71k, while sales in the South moved down to 233,000 from 248,000 in September. Meanwhile, the pace of sales rose in the Northeast to 38,000 from 31,000 in September. This also indicates that new home sales in the New Jersey are increasing and could signal that New Jersey Real Estate buyers are finfing good value in the discounted  new inventory.

The Census report follows Monday's existing home sales report from the National Association of Realtors, which fell more than expected by 3.1% to a pace of 5.14 million sales in October 2008.

New Jersey and national Housing market gets even weaker
Monday, November 24th 2008
Sales of existing homes fell in October, after a sharp increase in the previous month, as potential buyers remain sidelined by the weak economy.

The National Association of Realtors reported Monday that sales by homeowners slid in October to an annual pace of 4.98 million. That was down 3.1% from September's revised reading of 5.14 million.

Economists surveyed by Briefing.com were expecting sales to have declined 2.5% to an annual rate of 5.05 million in October.

On a year-over-year basis, sales were down 1.6%.

The national median existing-home price in October was $183,300, down 11.3% from a year ago when the median was $206,700.

Avoiding Foreclosure Rescue Scams in New Jersey
Sunday, November 23rd 2008
Foreclosures are increasing nationwide, and so are scams that promise to “rescue” homeowners from foreclosure.  What these scams do is take your money, ruin your credit record, and wipe out any equity you have in your home. 
 
Foreclosure con artists take advantage of people who have fallen behind on their mortgages and face foreclosure.  Con artists know that people in these situations are vulnerable and likely to be desperate.  Potential victims are easy to find: mortgage lenders publish notices before foreclosing on homes.  After reading such notices, con artists approach their targets in person, by mail, over the telephone, or by e-mail.  They advertise their services on Web sites or publications.  They often refer to themselves with titles that sound official, such as “foreclosure consultant” or “mortgage consultant,” and market themselves as a “foreclosure service” or “foreclosure rescue agency.”
 
Your mortgage lender – or any legitimate financial counselor – can help you find real options to avoid foreclosure.  If someone offers to negotiate with your lender and offers to arrange to stop or delay foreclosure for a fee, carefully check his or her credentials, reputation, and experience.  To protect yourself, follow the recommendations contained in this Consumer Advisory. 

 
WATCH OUT FOR FORECLOSURE RESCUE SCAMS
  • Lease-Back or Repurchase Scams – Be very suspicious if someone offers to pay your mortgage and rent your home back to you.  This scheme often involves signing the deed to your home over to the con artist.  The con artist may promise to sell your home back to you, but this may be very difficult, if not impossible, under the terms of the contract.
    Signing over the deed gives the con artist the power to evict you, raise your rent, sell the house, or steal the equity you have in your home.  You will still be responsible for your mortgage, so if the con artist stops paying it, your lender would have the right to foreclose on your home, and the foreclosure and any other problems would go on your credit record.
  • Refinance Fraud – Look out for people posing as mortgage brokers or lenders and offering to refinance your loan so you can afford the payments.  Con artists may trick you into signing over the ownership of your home by saying that you are signing documents for a new loan.
    Signing over the deed to your home exposes you to the dangers described above.  Even if you are a victim of fraud, you could still lose your home. 
  • Bankruptcy Schemes – Several scams attempt to abuse the bankruptcy laws.  For example, a con artist may ask you to give a partial interest in your home to one or more persons.  Each holder of a partial interest can then file bankruptcy, one after another.  The bankruptcy court will issue a “stay” order each time to stop foreclosure temporarily.  However, the stay does not excuse you from making payments or from repaying the full amount of your loan.  In another kind of scam, a con artist may offer to obtain refinancing or negotiate a payment plan with your lender.  If you may make payments to the con artist, he or she may keep the money rather than pay the lender on your behalf.  The con artist may even file a bankruptcy case in your name, without your knowledge, as a part of the scam.
    Bankruptcy laws provide important protections to consumers.  Scams can only temporarily delay foreclosure, and they may keep you from using bankruptcy laws legitimately to address your financial problems.  Signing over ownership of your home, or even partial ownership, can result in serious financial harm.
     
HOW TO PROTECT YOURSELF FROM SCAMS
  • Know what you are signing.  Read and understand every document you sign.  If a document is too complex, seek advice from a lawyer or an approved, trusted financial counselor.  Never sign documents with blank spaces that can be filled in later.  Never sign a document that contains errors or false statements, even if someone promises to correct them later.
  • Get promises in writing.  Oral promises and agreements relating to your home are usually not legally binding.  Protect your rights with a written document or contract signed by the person making the promise.  Keep copies of all contracts you sign. 
  • Make your mortgage payments directly to your lender or the mortgage servicer.  Do not trust anyone else to make mortgage payments for you.
  • Be very careful about signing over your deed.  Foreclosure scams often require you to sign over ownership of your home to a con artist or another third party.  Never sign over your deed without getting the advice of your own lawyer, financial advisor, or other independent person that you know you can trust.  Understand the terms of the deal you are making.  By signing over your deed, you lose your rights to your home and any equity built up in the home.
  • Report suspicious activity to the Federal Trade Commission and to your state and local consumer protection agencies.  Reporting con artists and suspicious schemes helps prevent others from becoming victims. 
HOW TO FIND LEGITIMATE HELP FOR YOUR FINANCIAL PROBLEMS
  • Contact your mortgage lender or mortgage servicer as soon as you think you are unable to make your mortgage payment.  Lenders are often in the best position to help, especially if you are current on your loan or not seriously late on your payments.  Your mortgage lender or mortgage servicer may be able to identify options to help you bring the loan current or to modify your loan.  
  • Contact a legitimate housing or financial counselor to help you work through your financial problems.  To find one:
    □    Call (800) 569-4287, or visit www.hud.gov/offices/hsg/sfh/hcc/hccprof14.cfm to find counselors approved by the U.S. Department of Housing and Urban Development (HUD). 
    □    Call the Homeownership Preservation Foundation at (888) 995-HOPE, or visit www.995hope.org, to reach a nonprofit, HUD-approved counselor through HOPE NOW, a cooperative effort of mortgage counselors and lenders to assist homeowners. 
Finally, if you have a questions how to avoid foreclosures in New Jersey and would like to stay away from the scammers please contact us.
Real Estate Market Trends in Chester
Tuesday, November 18th 2008
According to the latest Zillow Real Estate Market Reports, home values in Chester, NJ decreased -9.46% in the third quarter of 2008, compared to the third quarter of 2007. Nationally, home values decreased -9.7% during this same period.
The Downpayment Myth for New Jersey real estate buyers
Monday, November 17th 2008

One of the commonly cited reasons why New Jersey homebuyers remain on the sidelines is that they think they need to have a 20 percent downpayment in order to get a mortgage. This is another mortgage myth that is easily busted when you stop to think about the facts.

Recent statistics from the National Association of Realtors show that the number of first-time buyers is increasing. It is common knowledge that most first-time buyers don't have large downpayments, so they couldn't possibly all be putting 20 percent down.

Low-downpayment loans are still readily available. Just the other day, I heard about a 25 year-old man who purchased his first home using a Weichert, and got a loan through Weichert Financial Services requiring only 3 percent down.

So if you are considering to buy real estate in Chester, Mendham, Hackettstown, Long Valley, Chatham, Short Hills or anywhere else in New Jersey do not hesitate to contact me and I will show you how to find best real estate purchaising or financing deals in today's market.

How To Squeeze More Money From Your Home
Saturday, November 15th 2008

Rent All or Part of the House

Check with your local municipality to see if it will start allowing homeowners to have apartments within their homes. After World War II, many townships allowed financially distressed homeowners to have accessory apartments for income purposes. These arrangements ranged from one-family conversions into two-family homes to simple room rentals within the home.
Offer a Lease With Option
If your mortgage payment is at or below market rent for the property, consider offering a lease with option to purchase. Carefully choose a tenant or buyer who has the ability to qualify for a purchase loan within 24 months.
Refinance
If you have good credit, refinance the property for a longer term. If you have a first and second mortgage with payments that are choking you financially, consider an Federal Housing Administration refinance to lower your payments.
Reverse Mortgage
If you are over 62 and have sufficient equity, consider a reverse mortgage. Rather than making monthly payments, the lender pays you either a lump-sum payment or monthly payments against your equity in the home. The catch, however, is that every time you receive money from your reverse mortgage, the balance of your loan increases accordingly, with interest.
Work Out a Loan Modification
If your monthly payment is too high and you don’t have the ability to refinance, contact your lender and ask for a loan modification. Lengthening the term of your note will reduce the monthly payments, making it more manageable.
File for a Real Estate Property Tax Grievance
In areas where property taxes are high, consider contacting your local real estate taxing authority and making sure your assessed valuation is in line with your actual property value. With the recent correction of house prices, most homeowners might be very successful filling out this typically simple one-page form. Don't forget to ask about any special programs for seniors or the economically challenged. Twenty-five-percent reductions in property taxes is a very common amount for most qualified grievances.
Energy Audits
These are conducted by many professionals ranging from your local utility company to qualified home inspectors for a relatively nominal fee compared with fuel prices. Some home inspectors, such as ASHI.org qualified inspectors will even use special infrared cameras to detect heat losses, energy wasters, electrical current losses due to miss-wiring, and a host of other energy-saving tips specific to your home, including perhaps some "green" solutions.
Swap Your Home
Many Web sites allow people to post their homes and exchange with people all over the world; www.homeexchange.com charges $99.95 for a one-year unlimited membership.
Finding Financial Help When You Need It
Saturday, November 15th 2008

This year has been tough on the U.S. economy, and we’ve all been feeling it -- whether at the gas pump or the grocery store, in phone calls from creditors or in worried discussions with neighbors, in fluctuating retirement accounts or in budget-related meetings at work. Whatever financial problems you’re facing, here are some tips and resources that can help.

Paying your bills
If you realize that your current resources aren’t going to cover the bills, then it’s time to talk with your creditors. First, review your budget to see what you can afford to pay. Then, call your creditors and explain your situation. Ask for a payment plan that fits your current cash flow. Most creditors will try to work with you, especially if you demonstrate your intentions to meet your obligations by paying even a small amount each month.

You might also want to contact a credit counseling agency. These agencies, which are usually nonprofit, provide personalized counseling to consumers who need to pay off unsecured consumer debt, such as credit card and utility bills. Contact the National Foundation for Credit Counseling (NFCC) and the Association of Independent Consumer Credit Counseling Agencies (AICCCA) for a list of agencies.

Here are some other resources if your situation is more serious:

  • Rent or mortgage. Local nonprofit organizations may be able to help with rent and mortgage payments. Many communities also have foreclosure prevention programs. Contact the local United Way, community action agency, or church groups for more information. Again, if you’re behind on your mortgage, make sure you’re talking with your mortgage company.

  • Utilities. Private and publicly-funded energy programs are available to qualifying individuals and families. Contact your utility provider to find out what assistance may be available to you.

  • Medical. Contact your state health and human services department to see what resources are available to help you and your family pay for health care. Depending on your income level, you might also be eligible for federal assistance through Medicaid. If you’re trying to pay for care you received at a hospital, you can request a case manager or social worker to help you decipher bills and coordinate financial and medical resources.

Other common financial worries and what you can do

  • Putting food on the table. Your local or state health and human services department or community action agency can advise you on food assistance either through distributors of free food in your community or through the federal food stamp program. And if you have a child in school, contact the school to see whether he or she would qualify for free or discounted breakfasts and lunch.

  • The solvency of your bank. Check that all of your bank accounts are covered by the Federal Deposit Insurance Corporation (FDIC). The FDIC currently insures deposits up to $100,000, but if you have a joint account, the coverage is $100,000 per person per bank. Find out if your bank is covered at www.fdic.gov/deposit/index.html.

  • The value of your 401(k), stocks, and other investments. Before making any major decisions about transferring or withdrawing money from any of your investments, talk with a certified financial professional. A financial professional will help you understand how the current shifts in the market might affect your financial plans and whether you should be making any significant changes. You can find a Certified Financial Planner by looking in the yellow pages or asking friends and family for recommendations. Make sure you choose a professional who is certified with the Certified Financial Planner Board of Standards.

    Also, make sure your investments are secured through the Securities Investor Protection Corporation (SIPC). The SIPC works with customers of failed brokerage firms to recover up to $500,000 in cash, stock, and other securities lost during a closure or bankruptcy. Note that the SIPC does not insure against market losses.

  • Your ability to sleep at night. If anxiety is keeping you up at night or interfering with your ability to concentrate at work or enjoy life, you may benefit from talking with a counselor. Contact Work-life Balance or your employee assistance program (EAP) for more information and resources. You might also want to begin limiting the amount of time you’re spending monitoring your accounts, watching TV news, and participating in discussions related to the current economic crisis. Constant exposure to negative news and speculation can make your personal situation seem much worse than it actually is. And, of course, if you’re concerned about any physical symptoms, such as severe head- or stomachaches, chest pains or tightness, or heart palpitations, contact your doctor.

Remember to take care of yourself and accept help
As you sort through your finances and look for the solutions you need, don’t forget to take care of yourself and accept help when it’s offered. The following basic tips can help you maintain your energy, strength, and perspective.

  • Set aside small moments to relax, even if it’s just 10 minutes away from your job or the phone to take some deep breaths, make some tea, or go for a quick walk.

  • Do your best to get good sleep, regular exercise, and healthy meals whenever possible.

  • Spend time with your trusted friends and loved ones. When you’re under stress, try not to push your loved ones away even though that might be your typical defense mechanism. A kiss from your child, an embrace from your partner, a kind word from a friend, or a romp in the park with your dog can all have remarkable power to restore your sense of peace, normalcy, and stability.

Finally, remember that our web site has many other resources that can help you deal with a wide variety of real estate and financial issues; and most importantly if you have any question about your New Jersey real estate do not hasitate to contact us by phone or email.

Foreclosures bigger problem in NJ than Pa.
Thursday, November 13th 2008

Foreclosure filings in Pennsylvania fell by 4.39 percent from September to October, while New Jersey saw a 10.64 percent increase, according to data released Thursday by foreclosure data tracker RealtyTrac.

Foreclosures were up 5 percent nationally month to month.

Pennsylvania’s foreclosure rate of one filing per every 1,362 homes was well below the national average of 1 for every 452 homes and has the state ranked No. 32 out of 50. But foreclosures were up 26 percent compared to October 2007.

New Jersey was ranked eighth nationally with a foreclosure filing rate of one out of every 410 homes, a nearly 75 percent increase from October 2007.

Nationally, foreclosure filings — default notices, auction sale notices and bank repossessions — were reported on 279,561 U.S. properties during the month, a 25 percent increase from October 2007.

Nevada posted the nation’s highest state foreclosure rate for the 22nd consecutive month in October, with one in every 74 housing units receiving a foreclosure filing during the month — more than six times the national average. That represented an increase of 11 percent from the previous month and nearly 119 percent from October 2007.

With one in every 149 housing units receiving a foreclosure filing in October, Arizona registered the second highest state foreclosure rate, which represented an increase of nearly 35 percent from the previous month and was up 176 percent from October 2007.

One in every 157 Florida housing units received a foreclosure filing in October, the nation’s third highest state foreclosure rate, which was an increase of 13 percent from the previous month and was up nearly 80 percent from October 2007.

Other states with foreclosure rates ranking among the top 10 were California, Colorado, Georgia, Michigan, New Jersey, Illinois and Ohio.

To find out what foreclosed properties are available on market in the New Jersey, obtain Free New Jersey Market Snapshot, conduct Free MLS Property Search in New Jersey, receive free reports, and find out more details about the properties you are interested in you can always contact us via email or phone.

Your credit score: What it is and why it matters
Tuesday, November 11th 2008

Which of the following actions are likely to hurt your credit score?

  • Closing an old credit card account that you rarely use.
  • Opening a new charge account to get a department store discount.
  • Spending to your cards' limits.
  • All of the above.

The answer is "all of the above." Each of these actions can hurt your credit score, which in turn can hurt your effort to get the best rate on a loan—or to get a loan at all.

How your score is determined

When you apply for a loan or fill out a charge account application, most lenders request your FICO score, which is named for its developer, the Fair Isaac Corporation of Minneapolis, Minnesota. 

Your FICO score is intended to tell the potential lender how reliable a borrower you will be, says Barry Paperno, consumer operations manager at Fair Isaac. In compiling your score, the FICO scoring formula tries to answer these five questions:

  1. Do you pay your bills on time?
  2. How much of your available credit are you using?
  3. How long have you been using credit?
  4. Have you taken on more debt recently?
  5. Have you managed different types of credit well?

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The answers come from an examination of your credit reports at the nation's three consumer credit reporting companies: Equifax, Experian, and TransUnion. These three companies keep records of your day-to-day credit use. You have a FICO score based on each of your three credit reports.

Your score, which ranges from 300 to 850, is a compilation of what a credit report says about you at any given time. So it can change in a short period. It can fall if you miss a payment and rise if you pay down a balance, for example.

So closing an old credit card account can lower your FICO score because it changes the proportion of available credit you are using. That's why when you pay off an old credit card, it may be better to leave it dormant than to cancel the account.

Opening a new account can also lower your score. Taking on additional debt can increase the risk that you won't pay back what you already owe, especially if your credit history is short.

Spending to your cards' limits is also a red flag. It suggests that you may be overextended, which can increase the risk that you'll start to miss payments.

Wrong information in a credit report can also hurt your score. You are entitled by law to get a free credit report from each of the three credit reporting companies each year. You can get your free reports at www.annualcreditreport.com.* You may receive offers for credit monitoring services at the site, but you don't have to accept them to get your credit report.

Your credit score, on the other hand, is not free. Fair Isaac charges $15.95 for a credit score based on one credit report and $47.85 for all three at its website, www.myfico.com.*

Should you pay for your credit score?

You may not need to know your credit score if you already have a sufficient amount of credit available and don't foresee the need for additional credit anytime soon. But if you are thinking about applying for a loan, knowing your credit score—and how to improve it—may save you money.

Though lenders base their decisions on many factors that aren't part of your credit score, including your income, a higher score generally leads to a lower interest rate.

In practical terms, that means homeowners with low FICO scores may pay hundreds more each month on mortgages than their neighbors who borrowed identical amounts but who have sterling FICO scores (see table).

 

FICO Score Annual Percentage Rate Monthly Mortgage Payment
760-850 5.744% $1,166
700-759 5.966% $1,195
660-669 6.250%

$1,231

620-659 7.060%

$1,339

580-619 9.451%

$1,675

500-579 10.310%

$1,801

Source: MyFICO.com. Mortgage interest rates as of October 3, 2008, based on the national average. Monthly payments are based on a $200,000 loan amount and do not include insurance or real estate taxes.

Four ways to improve your credit score

1. Pay your bills on time. Payment history is typically the most important of the five factors that make up your score. If you have a history of paying on time, you're considered more likely to pay on time in the future.

2. Don't borrow to the limit. Amounts owed is the other big factor. Keeping balances at a low percentage of your available credit, whether or not you pay them off in full each month, helps your score. Lenders don't worry that you have the capacity to splurge. Rather, they see you as someone who manages credit well.

3. Be a loyal customer. Having a charge card for decades can raise your score, and opening new accounts can lower it. So it may not pay to switch from old credit cards to new ones for a short-term gain, such as a low introductory interest rate.

4. Use different types of credit. Effectively managing both revolving accounts, such as credit cards, and installment accounts, such as an automobile loan, improves lenders' perception of you.

*When you access any of the sites mentioned in this article, you will be leaving our site. We are not responsible for the accuracy of information on third-party sites.

Pending Home Sales Rose in August
Wednesday, October 15th 2008

According to the National Association of Realtors (NAR), the Pending Home Sales Index increased 7.4 percent in August to its highest level since June 2007. In the Northeast, the index rose 8.4 percent. Lawrence Yun, NAR chief economist, said homebuyers were responding to improved affordability and low interest rates. In general this is very good news for Chester, Mendham, Long Valley, and Hackettstown real estate sellers and buyers, because despite of wall street crisis things in real estate market are apparently still moving and even improving a bit.

Want a fancier-looking room? Try wainscoting. Do-it-yourself design and installation tips.
Thursday, October 9th 2008
By Paul Bianchina, Inman News

One way to really dress up a room and try your hand at some different decorating techniques is to consider wainscoting. There are number of ways to combine materials and create some very attractive wainscoting effects, and the cost doesn't need to be prohibitive.

Traditionally, wainscoting is tongue and groove boards, raised or flat paneling sections that are applied to the lower part of a wall. The wainscoting extends from the top of the baseboard up to a height of usually between 3 and 5 feet off the floor, and is topped off with a horizontal molding. In addition to its decorative appeal, wainscoting had  very practical advantage of protecting the lower portion of the wall from wear and tear.

Today, however, wainscoting has taken on a somewhat less specific definition. It can be just about any combination of materials, including paint, wood, wallpaper and even fabric.

A wainscoting application consists of three elements: the lower portion of the wall, the upper portion of the wall, and the dividing line between the two. How you mix and match those three elements is up to your individual taste and budget.

Splitting Up The Wall

One of the first things to decide for any wainscoting project is where dividing line will be between the two different materials. For a room with an 8-foot-high ceiling, a division of approximately 3 feet on the lower half and 5 feet on the upper half tends to give the best balance. Many Craftsman-style homes used the reverse of that, with about 5 feet of paneling on the lower half, capped with a wider molding that was suitable for shallow storage. For best appearance, the dividing line should not be exactly half way up the wall.

To get a better idea of how different proportions will work, tape some newspaper or other material on the wall at couple of different heights. This will give you a better representation of how the two halves will balance out, and you can adjust them accordingly.

Installing Traditional Wainscoting

To achieve the look of a board wainscoting, you can install individual narrow, tongue and groove boards; you can install wider boards that are milled on the face to look like two or three narrower boards, which simplifies installation; or you can install 4-foot-wide beaded paneling, which again replicates the look of individual boards but installs faster. With any of these methods, finish off the top of the boards with a horizontal molding such as a wainscot cap or a chair rail.

For a paneled look, there are kits available that include a routed base molding, a routed top molding, routed vertical strips, and the panels themselves. The pieces all interlock with one another, and as long as you take some time with the layout to ensure that the panels are balanced to the width of the wall, you can achieve a beautiful, traditional paneled wainscoting in a relatively short time. If you are an avid woodworker, there are specialized router bits that help you cut the individual pieces yourself and save some money.

With wood, you have the choice of painting or staining the material to get the look you want. For painting, the boards and paneling are available in medium-density fiberboard (MDF), which paints nicely and is less expensive than solid wood. For stained wainscoting, you can select from pine, fir, oak, cherry, maple and other woods.

Wood strips, paneling and moldings can all be found at most home centers and lumberyards, along with all the installation materials you need. Some larger stores also carry the paneling kits, or they can order them for you. You will also find a wide selection of wainscoting paneling kits online.

Other Wainscoting Materials

In addition to traditional wood, there are lots of other material combinations that will work very well together. You can experiment with different combinations of materials to achieve the exact look that works for your décor. In general, heavier materials such as wood and fabric look best on the lower half of the wall. Also, darker paint colors and darker, more heavily patterned wallpapers look best on the bottom.

Your wainscoting choice may be something as simple as two different colors of paint. You can also use a solid paint on one section of the wall, and some type of textured paint effect on the other section.

Another easy wainscoting can be achieved with two different wallpapers. Select a lighter paper with a more open pattern for the upper half of the wall, and a darker paper or one with a vertical stripe or heavy pattern for the bottom. You can also combine the two materials by using paint on one section of the wall and wallpaper on the other.

With any of these combinations, separate the two sections of wall with a painted or stained wood molding. To really accent the installation, finish everything off with a crown molding as well.

Best Places To Live in New Jersey - The Complete Top 100 Towns List
Thursday, October 9th 2008
Rank
Municipality
County
2006 Population
00-06 Population growth
2007 Median Home Sales Price
Change in Home
Price 00 - 07
2007 Median Property Taxes
Open Space Land %
1 Chatham Township Morris 10,279 1.9% $797,500 125% $9,948 36%
2 Upper Township Cape May 11,363 -6.2% $295,000 95% $3,632 49%
3 Verona Township
Essex 12,937 -4.4% $420,000 100% $8,136 19%
4 Oceanport Borough Monmouth 5,751 -1.0% $510,000 125% $6,622 10%
5 Lincoln Park Borough Morris 10,856 -0.7% $350,000 115% $6,271 28%
6 Shamong Township Burlington 6,873 6.4% $372,500 108% $6,664 59%
7 Millstone Borough Somerset 431 5.1% $392,500 98% $5,879 18%
8 Lavallette Borough Ocean 2,752 3.3% $700,000 180% $4,830 22%
9 Mahwah Township Bergen 24,560 2.1% $425,000 93% $5,787 48%
10 Essex Fells Township Essex 2,071 -4.2% $1,065,000 113% $12,705 16%
11 Secaucus Town Hudson 15,562 -2.3% $429,000 133% $4,709 6%
12 Roosevelt Borough Monmouth 913 -2.1% $240,000 162% $5,197 23%
13 Rockleigh Borough Bergen 393 0.5% $2,400,000 242% $10,840 39%
14 Roseland Borough Essex 5,400 1.9% $582,500 99% $7,087 20%
15 Alpine Borough Bergen 2,429 11.3% $3,100,000 243% $12,295 48%
16 Mountainside Borough Union 6,644 0.6% $635,000 96% $7,420 5%
17 Cedar Grove Township Essex 12,848 4.5% $494,000 115% $6,593 17%
18 Walpack Township Sussex 40 -2.4% n/a n/a $800 >75%
19 Folsom Borough Atlantic 1,948 -1.2% $202,500 182% $2,627 8%
20 Dennis Township Cape May 5,907 -9.0% $216,200 88% $2,597 56%
21 Union Township Hunterdon 6,352 3.1% $319,950 174% $7,433 31%
22 Manasquan Borough Monmouth 6,199 -1.8% $607,500 179% $6,586 12%
23 Tabernacle Township Burlington 7,337 2.4% $358,800 110% $6,666 43%
24 Chatham Borough Morris 8,390 -0.8% $693,000 86% $8,780 12%
25 North Caldwell Borough Essex 7,207 -2.3% $760,000 113% $11,323 7%
26 Sandyston Township Sussex 1,924 5.4% $250,000 113% $3,794 73%
27 Ogdensburg Borough Sussex 2,623 -0.6% $273,500 104% $5,972 29%
28 Spring Lake Heights Borough Monmouth 5,106 -2.3% $490,000 128% $5,321 3%
29 Summit City Union 21,103 -0.1% $787,500 88% $10,665 54%
30 West Caldwell Township Essex 10,797 -3.9% $455,000 78% $7,619 16%
31 Leonia Borough Bergen 8,799 -1.3% $509,850 105% $9,162 28%
32 Caldwell Township Essex 7,373 -2.8% $423,650 84% $8,977 5%
33 Clark Township Union 14,650 0.4% $415,000 108% $7,627 14%
34 Lower Township Cape May 20,785 -9.4% $225,000 178% $2,622 27%
35 Little Ferry Borough Bergen 10,715 -0.8% $370,000 155% $7,095 11%
36 Brigantine City Atlantic 12,886 2.3% $400,000 196% $4,370 >75%
37 Cranford Township Union 22,369 -0.9% $446,250 95% $8,119 13%
38 Nutley Township Essex 27,011 -1.3% $409,225 141% $8,438 8%
39 Wood-Ridge Borough Bergen 7,594 -0.7% $413,250 124% $6,421 1%
40 Stillwater Township Sussex 4,385 2.8% $247,500 80% $5,084 34%
41 Ho-Ho-Kus Borough Bergen 4,095 0.9% $719,000 66% $10,094 3%
42 Cape May Point Borough Cape May 230 -4.6% $837,500 173% $3,187 18%
43 Linwood City Atlantic 7,354 2.5% $330,000 146% $6,420 20%
44 Montville Township Morris 21,442 2.9% $585,000 93% $9,051 18%
45 Shrewsbury Township Monmouth 1,073 -2.3% $231,000 173% $4,312 4%
46 Teterboro Borough Bergen 18 0.0% n/a n/a $1,599 <1%
47 New Hanover Township Burlington 9,479 -2.7% $325,000 178% $3,756 <1%</