Last year, more than two million people were turned down for homes, according to federal data, often because the applicants didn’t meet certain lender requirements or because their applications were incomplete or otherwise problematic.  With lenders’ underwriting criteria becoming more rigorous in recent years, it’s important buyers know the most common triggers for mortgage-loan rejection.

Making sense of the story

• Insufficient income: Lenders want to be sure borrowers can afford to make the mortgage payments.  Lenders typically look for at least a two-year track record of income, which could hurt those who have changed jobs recently.
• Cloudy financial picture: Generally, total debt payments, including the mortgage, cannot exceed 45 to 50 percent of a borrower’s adjusted gross monthly income.  Overtime and bonuses are included only if the borrower has worked for the same employer at least two years, and has a history of receiving them.
• Poor credit: Lenders typically reject applicants with FICO scores below 620.
• Low appraisal: One of the predominant reasons buyers are turned down for home loans is because the appraisal on the property is too low.  A buyer may think he or she is purchasing a house worth $800,000, but if the appraisal comes in less than that, the lender will not loan the borrower the money.
• Property problems: Sometimes issues turn up within a house, like a major repair or safety issue that needs to be addressed, before an application can be approved.
• Information mix-ups: Approximately 12 percent of new mortgage applications were denied because of unverifiable information or incomplete credit applications, according to the Federal Financial Institutions Examination Council.

Related articles

• How to Boost Your Odds of Getting Approved for a Mortgage
• More parents finance their kids’ mortgages
• First-time buyers hit by lenders’ caution
• New appraisal standards to impact mortgage rates
• Loan rejections soon to come with explanation
• I think mortgage & appraisal standards are just right
• The Top 3 Real Estate Deal-Killers – and How Buyers Can Avoid Them
• Mortgage rationing still in force
• To Understand The Benefits Of A Realty Mortgage Do In Depth Research.

Join the hundreds of thousands of people who have put their energy, talent and skills toward buidling healthier and happier lives around the globe…with shaklee products.

It’s one thing to promote health and wellness, it’s another to stand behind a trusted brand like Shaklee, who has been leading the natural health movement for more than 50 years. [read more]

DAVE THURMAN (of Stockton, CA): Your Source for Shaklee Products

Related articles

• Home Remedy for Dry Skin
• 3 Non-Toxic (and Affordable!) Disinfectants
• How to Work Your Home Business Alongside Your Children

I was reading “The Stockton Record” this morning as I usually do with my morning coffee…And I was again hit with the same old housing news! Will it ever end?

Reports show years of weakness for housing

New home sales are at 50-year low

WASHINGTON (AP) — Sales of new homes fell to a six-month low in August. The fourth straight monthly decline during the peak buying season suggests the housing market is years away from a recovery.

The Commerce Department said Monday that new home sales fell 2.3 percent to a sea­sonally adjusted annual rate of 295,000. That’s less than half the roughly 700,000 that econ­omists say must be sold to sus­tain a healthy housing market.

New homes sales are on pace for the worst year since the government began keeping records a half-century ago.

High unemployment, larger required down payments and tougher lending standards are preventing many people from buying homes. Plunging stocks and a growing fear that the U.S. could tip back into another reces­sion are also keeping people from entering the housing market.

Last year was also the fifth straight year that sales have fallen. It followed five straight years of record highs, when housing was booming.

Foreclosures and short sales — when lenders accept less for a house than a mortgage is worth — are forcing prices down. Those homes are selling at an average discount of 20 percent, and they are lowering neighboring home values. That’s made many re­sales a bargain compared with new homes, creating an average 30 percent disparity in prices.

All home sales remain weak. The August sales pace for pre­viously occupied homes was 5.03 million. That’s slightly above last year’s sales, which were the fewest since 1997. Economists say roughly 6 million older homes need to be sold each year to sus­tain a healthy housing market.

Home prices have dropped more since the recession started, on a percentage basis, than during the Great Depression of the 1930s. It took 19 years for prices to fully recover after the Depression.

Related articles

• New home sales hit six-month low in August
• August U.S. new homes sales fall
• Big housing blow: New home sales fall, again
• New Home Sales Fell To Six Month Low In August
• New-home sales fell in August for 4th month
• New-home sales fell in August for 4th month
• New-home sales fell in August for 4th month
• US new house sales fall in August
• We’re On Pace For The Lowest New Home Sales Ever

Stockton Real Estate – Dave Thurman

Number of Homes for Sale vs. Sold vs. Pending

August 2010 there were 1237 homes for sale in Stockton, California in comparison to August 2011 where there was a decrease to 1044 homes for sale. The number of homes sold in August 2010  was 364 and in August 2011 the number of homes sold increased to 392. In August 2010 there were 422 pending sales which increased to 632 in August 2011.

More graphs and charts from our MLS and  TrendVision Reports

Number of Homes for Sale vs. Sold vs. Pending

July 2010 there were 1168 homes for sale in Stockton, California in comparison to July 2011 where there was a decrease to 1053 homes for sale. The number of homes sold in July 2010  was 407 and in July 2011 the number of homes sold decreased to 354. In July 2010 there were 398 pending sales which increased to 544 in July 2011.

More graphs and charts from our MLS and  TrendVision Reports

California
Foreclosure activity slowed again in July, except for a slight increase in Sold to 3rd Party auction sales on the courthouse steps. Notice of Default filings fell by 11.7 percent from June, and 30.6 percent from a year ago. Notice of Trustee Sale filings were down 5.4 percent from June, and have dropped 25.3 percent from July 2010. Cancellations decreased for the third consecutive month, with a 5.3 percent drop compared to June, and were down 32.0 percent year-over-year. Foreclosures going Back to Bank (REO) declined 4.0 percent from June, down for the second month in a row. Foreclosures Sold to 3rd Parties nudged up 1.2 percent from June, and are at the same level as this time last year. Time to Foreclose decreased slightly from June, down less than one percent to 313 days; although year-over-year remained up 19.5 percent. 3rd Party investors continue to resell inventory faster than banks, with the average at 131 days compared to the average Time to Resell for Banks at 235 days.
View all California stats by state, county, city or ZIP

The above foreclosure report is emailed to me each month from ForeclosureRadar…please check out their excellent website at http://www.foreclosureradar.com

Thriving in a Difficult Economy

Even in times of economic turmoil, like we’re experiencing now, some Shaklee distributors have made a couple of hundred extra dollars each month.

Others have put their kids through college, traveled to places they had never dared to dream of visiting.

They have become healthier than ever, bought homes, become millionaires, retired comfortably, retired cushily, started foundations and dreamed bigger than they’ve ever dreamed before.

Shaklee has grown in every single prior recession since 1956.

• Social Marketing

• Why Shaklee

• Live Your Dream

We get it. Life can be better. You can live healthier, you can make a healthier income, and you can do it by making people and the planet healthier too.

Related articles

• East Stockton Real Estate
• Shaklee – Dave Thurman
• Join Shaklee as a $750 GOLD Ambassador

Stockton Real Estate – Dave Thurman – Shaklee

Number of Homes for Sale vs. Sold vs. Pending

June 2010 there were 1088 homes for sale in Stockton, California in comparison to June 2011 where there was a decrease to 1062 homes for sale. The number of homes sold in June 2010  was 496 and in June 2011 the number of homes sold decreased to 354. In June 2010 there were 430 pending sales which increased to 616 in May 2011.

More graphs and charts from our MLS and  TrendVision Reports

Open House ~ My Office at 2652 East Main Street, Stockton CA 95205

Saturdays 11AM – 2PM and Monday Evenings 5PM – 7PM

You are invited to our Open Office at 2652 East Main Street in Stockton. If you are looking for residential, commercial, or investment properties in this area, don’t miss this opportunity to visit and meet with Dave Thurman, REALTOR®. Also, learn all about a Shaklee membership. Come Join Us! Appointments are not necessary!

• Pick up “Dave’s List” of homes for sale!
• Foreclosure auction dates & information.
• Get pre-qualified for a home loan.
• Discuss agency and disclosure requirements.
• First-time buyers and investors are welcome.
• Get discounts & become a Shaklee member.
• Start your own business for only $299.
• Earn vacation trips, a new car & live healthier!

Stockton Real Estate – Dave Thurman

Here is an interesting article I found while searching the internet this evening.

Defaulted Owners Living Payment Free For…Years (and Years)

Millions of homeowners in distress are getting some unexpected breathing room — lots of it in some places.

In New York State, it would take lenders 62 years at their current pace, the longest time frame in the nation, to repossess the 213,000 houses now in severe default or foreclosure, according to calculations by LPS Applied Analytics, a prominent real estate data firm.

Clearing the pipeline in New Jersey, which like New York handles foreclosures through the courts, would take 49 years. In Florida, Massachusetts and Illinois, it would take a decade.

In the 27 states where the courts play no role in foreclosures, the pace is much more brisk — three years in California, two years in Nevada and Colorado — but the dynamic is the same: the foreclosure system is bogged down by the volume of cases, borrowers are fighting to keep their houses and many lenders seem to be in no hurry to add repossessed houses to their books.

“If you were in foreclosure four years ago, you were biting your nails, asking yourself, ‘When is the sheriff going to show up and put me on the street?’ ” said Herb Blecher, an LPS senior vice president. “Now you’re probably not losing any sleep.”

When major banks acknowledged last fall that they had been illegally processing foreclosures by filing false court documents, they said that any pause in repossessions and evictions would be brief. All of the major servicers agreed to institute reforms in their foreclosure procedures. In April, the Office of the Comptroller of the Currency and other regulators gave the banks 60 days to draw up a plan to do so. [read more]   Real Estate Insider News

Related articles

• Lenders repossessed fewer homes in May
• Will Declaring Bankruptcy Stop a Foreclosure?
• Lenders repossessed fewer homes in May
• Pace of U.S. foreclosures slowed in April, but not in Puget Sound area
• Foreclosure mistakes occur despite promises
• Home repossessions slow, but market languishes
• Lenders repossessed fewer homes in May