What to do after a disaster hits your home, mortgage

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advice, disaster assistance, hurricane irma, Hurricane safety, irma, real estate

We hope you won’t need it, but if you need a contractor or other help after the storm, please contact our team and we are happy to be of assistance –

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NEW YORK – Sept. 6, 2017 – Hurricane Harvey has damaged or destroyed hundreds of thousands of homes and put countless families into a financial tailspin. If you’re affected by a natural disaster, what does it mean for your mortgage? Here are frequently asked questions and answers.

What should I do first?

Get in touch with the following entities:

• The Federal Emergency Management Agency. You can register with FEMA online, in person at a disaster recovery center or by calling 800-621-3362.
• Your homeowners insurance company, plus your flood or earthquake insurance company, if either applies to your situation.
• Your mortgage servicer. That’s the company that you send your monthly payments to; it might not be your original mortgage lender.

I can’t pay my mortgage. What are my options?

If the disaster makes it impossible to make your monthly house payments, ask your servicer for mortgage forbearance. A forbearance ‘allows you to stop making your payments for an agreed-upon time,’ says Lisa Tibbitts, director of public relations for Freddie Mac.

In a forbearance agreement, you might make partial payments or stop making payments for a specific time. Generally, a forbearance lasts up to six months and can be extended up to another six months. Interest still accrues during the time you aren’t making full monthly payments. But under a forbearance agreement, the lender won’t charge late fees or report you to credit bureaus.

The lender will want you to catch up on your missed payments after the forbearance period is over. That might involve paying extra every month for a few years, modifying the loan or reaching some other negotiated agreement.

To talk with a Department of Housing and Urban Development-approved housing counselor before agreeing to forbearance, call 800-569-4287.

What aid is available?

Direct federal aid consists mostly of loans from the Small Business Administration. As odd as that may seem, the SBA is in charge of delivering disaster-related loans to individuals and families.

The SBA extends loans at favorable interest rates to replace or repair primary residences. You can borrow up to $200,000 to cover renovation or construction costs. Whether you’re a renter or a homeowner, the SBA will lend you up to $40,000 to replace personal property such as clothing, furniture, appliances and vehicles.

FEMA offers grants to fill in gaps between insurance payouts and SBA loans. The maximum grant is $33,300 per household for disasters that happen in the fiscal year that ends Sept. 30, 2017. Grants can be used for expenses such as basic home repairs that aren’t covered by insurance, temporary rent and disaster-caused medical and child care.

The Federal Housing Administration has a program that’s designed to help disaster survivors rebuild or buy replacement homes. Under the Section 203(h) program, the FHA insures mortgages for people whose homes were destroyed or damaged in disasters. Borrowers don’t have to make a downpayment.

My house was destroyed. Should I keep paying the mortgage?

You should do your best to maintain your credit score. That means paying the home loan if you can afford it until you have talked with the servicer and have reached a settlement with the insurance company.

The way lenders look at it: You promised to repay your loan when you signed your mortgage documents at closing. “The borrower is liable for the loan debt, and making their payment is part of the borrower’s contractual obligation,” Alicia Jones, Fannie Mae spokeswoman, said in an email.

Note: If you apply for a loan from the SBA, it runs a credit check before inspecting your property. That’s one reason to preserve your credit score by paying your bills on time as best you can.

What happens if I stop mortgage payments without telling my servicer?

If you stop making payments without permission from your mortgage servicer, you could be charged late fees and your credit score could fall.

Homeowners “should call their lender,” says Brian Sullivan, supervisory public affairs specialist for HUD. “Don’t stop answering the phone. Don’t stop opening your mail.”

Talk with your mortgage servicer before you miss a payment. The servicer might offer forbearance.

What if I can’t contact my mortgage servicer?

Whether your loan is guaranteed by Fannie Mae or Freddie Mac, insured by the FHA or guaranteed by the Department of Veterans Affairs, the servicer is expected to reach out to you.

In response to Hurricane Harvey, Freddie Mac is allowing servicers to “verbally grant” 90-day forbearances, and Fannie Mae is letting servicers grant 90-day forbearances ‘even if they cannot contact the impacted homeowner immediately.’

Even so, you should call the servicer or answer the mortgage company’s calls.

What happens if I’m in foreclosure?

Mortgage servicers receive foreclosure guidance from federal agencies, and the recommendations vary depending on the disaster.

Fannie Mae, Freddie Mac, the VA and the FHA have suspended foreclosures for 90 days in the Hurricane Harvey disaster area.

The house I was buying was destroyed or damaged. What happens now?

If a disaster happens between appraisal and closing, “the lender is expected to take prudent and reasonable actions to determine whether the condition of the property may have materially changed since the effective date of the appraisal report,” according to Fannie Mae’s guide to lenders.

If the damage is relatively minor and covered by insurance, the mortgage can be closed. But if the damage is uninsured, or if it’s major, then the house must be repaired before the mortgage can go through.

Copyright © 2017 The Steuben Courier Advocate, Holden Lewis. All rights reserved. The article “What to Do After a Disaster Hits Your Home, Mortgage,” originally appeared on NerdWallet.

How a Love Letter Can Win You a Home!

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advice, homes for sale, Homes for sale in Jacksonville, homes for sale in Jacksonville FL, Jacksonville Real Estate, love letter, multiple offers, sellers market

Have you had a hard time landing your dream home in a hot market? If you’ve been through the bidding wars and have come up short, here’s a tool that might give you an edge in the next round of offers.

If you’ve ever experienced the disappointment of losing out on a home in a seller’s market, you want to do everything possible to keep it from happening again. One tactic many buyers overlook is the “love letter” written to sellers about their home.

Rationally, you might expect the highest offer will always win the home, but there are a host of other factors involved. Some are emotional. Some sellers want to see their home go to a buyer they not only trust to close the deal, but they also like personally.

Want to give yourself an edge? Craft a short “love letter” to go with your offer. Here are the basics you’ll want to cover in your letter:

1. Explain how much you like their home. Don’t go overboard, but prove to them you know the home and you truly appreciate their taste and the unique characteristics of the house. This might touch on improvements they’ve made or other aesthetic details.

2. Spare them all the things you might want to change. What you say is as important as what you don’t say. Don’t tell them you’re going to gut the place as soon as you close, add a second story, or rip out their garden for a pool.

3. Demonstrate you’re qualified to close. Make them feel confident in your qualifications as a buyer. Show them you’re pre-qualified for a loan, are buying cash, or have other reasons why you’ll be a hassle-free buyer.

4. Be humble and positive. Don’t give them a sob story about the four other homes you’ve lost out on. Praise the neighborhood and make them feel as though you would be positively honored to be chosen as the next owner of their home.

5. Check the letter for typos. Read it out loud. Listen for clunky sentences or awkward repetition. Have someone proof it for mistakes. Their confidence in your attention to detail is important.

A good agent should be able to tell you if the letter sounds like an honest appeal. Have it included with your offer as a cover letter.

Need help finding a home worth a love letter? Get in touch today: Kevin and Jennifer Hanley, REALTORS 904-515-2479 http://www.HanleyHomeTeam.com The Hanley Home Team at Keller Williams Realty Atlantic Partners Southside

How to Prepare for a Hurricane at the Last Minute | Today’s Homeowner

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advice, Florida, home safety, Homes for sale in Jacksonville, hurricane Matthew, Hurricane safety, Jacksonville, neighbors, safety, storm safety

Read this article for important tips on how to keep your family and home safe when a hurricane catches you unprepared.

Source: How to Prepare for a Hurricane at the Last Minute | Today’s Homeowner

• Secure Outdoor Furniture:

  Loose items in your yard can become flying projectiles during a hurricane due to high winds. Move any unsecured items in your yard – including patio furniture, lawn chairs, bird feeders, hanging plants, and toys – inside your house or garage if possible. If you can’t move outdoor item in, use a strong rope or garden hose to tie them securely down.

• Move Cars to Safety: Cars are often damaged or destroyed by falling trees or windblown debris during a hurricane. If you have a garage, park your cars in it and close the garage door. If not, position cars close to your home on the lee side of expected winds and away from trees to provide some shielding from the storm. Avoid parking cars near power lines or trees.
• Find Utility Cutoffs: Identify the cutoff switches and valves for your water, power, and gas; and know how to turn them off in case of an emergency. Severe damage to your home from a hurricane can cause a short or power surge in your electrical system, and may also result in ruptured water or gas lines. Cutoffs for water and gas are usually located at or near the meter for each utility. To turn off the power to your home, flip the main breaker in your circuit breaker box.

 

• Make Ice: Power is often disrupted for days or weeks after a hurricane, and ice to keep food from spoiling will be in short supply. Set your freezer on the coldest setting, and make as much ice in the ice maker or ice trays as possible while the power is still on. Also, fill plastic containers or clean milk and water jugs with water (don’t fill to the top to allow for expansion), and put them in the freezer. Once the power goes out, place containers of ice in your fridge or an ice chest to keep your food fresh longer. Open refrigerator and freezer doors as little as possible.
• Charge Cordless Devices: Charge batteries on cordless tools, flashlights, cell phones, laptop computers, cameras, radios, iPads, iPods, MP3 players, and portable electronic games. Your cell phone may become your only link to the outside world if regular phone service is disrupted during and after a storm, so keep it with you at all times. A 12-volt DC battery charger will allow you to charge devices back up from your car after the power is out.
• Document Home and Valuables: If you don’t have a home inventory backed up with video or photographs, take photos or video now for insurance purposes in case your home suffers extensive damage during the storm. The camera on a cell phone can also be used to photograph your home. Send or email the photos to someone outside the area of the storm for backup, and put them on a portable USB flash drive to keep with you. A visual record of your processions and the condition of your home prior to the hurricane will be invaluable when dealing with insurance claims.

• Fill Bathtub with Water: Whether you’re on city water or a well, water supplies can be disrupted or contaminated following a hurricane. Use the water in the bathtub to fill the tank on your toilet for flushing or for washing in the aftermath of a storm, but not for drinking. Lining the tub with plastic before filling will keep water from leaking out of the tub drain. Five-gallon buckets and pots from your kitchen can also be used to store water. After the storm has passed, water from a pool can be used for flushing toilets. If your house is on a grinder pump, don’t flush toilets or use drains in the house when the power is out to prevent overflowing.
• Gather Emergency Supplies: Gather the following items together in a laundry basket or small suitcase so they will be handy during and after a storm: flashlights, batteries, first aid kit, battery powered radio, cell phone car charger, hand sanitizer, prescription drugs, games, sunscreen, mosquito repellant, duct tape, toilet paper, important documents (including your homeowner’s insurance policy), pet and baby supplies.
• Close Curtains, Shutters, and Blinds: To reduce the chance of flying glass if a window is blown out by high winds or flying debris, close shutters and blinds – both inside and out – along with drapes and curtains.

• Go to Safe Area of House: If you’re not able to make it to an evacuation shelter before the storm hits; take refuge in a windowless hallway, bathroom, or closet located in the interior of your home. Bring mattresses from beds with you, bot for comfort and for use as protection in case your home suffers severe structural damage.

How to Meet your Neighbors

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advice, foster connections, friendly, good friends, neighbors

Our neighborhoods are only as strong as the bonds we have with our neighbors. If you’ve recently moved into a new home or have noticed someone new move in next door, it’s not as hard as you might think to reach out and make a connection.

While we all want to preserve our privacy, the benefits of being good neighbors far outweigh whatever “exposure” we might fear in the process. Good neighbors make safer neighborhoods. Good neighbors often can share tools and resources to reduce expenses and increase convenience. Finally, good neighbors can become good friends.

Here are a few ways to foster friendly connections:

Compliment and/or ask questions about your neighbor’s home.

Is it obvious your neighbor has a great garden? Solar panels? An enthusiasm for the classic car he washes on Sundays? Open up a conversation with a polite compliment and genuine curiosity.

Ask for advice on a project you’re considering.

While you can probably Google about any home project you’re considering, it’s also an opportunity to ask your neighbor if they know anything (or know anyone who knows) about a project you’re interested in. This could be a home maintenance project, a business, or a community event.

Partner up for home maintenance tasks.

Working with someone is a great way to build rapport. Are you thinking about pressure washing your house? See if your neighbor wants to tag team the project together. You can split the labor and the cost of the equipment rental (to say nothing of a cold one after the job is done!).

Going it alone is harder than overcoming our resistance to meeting “the strangers” next door. Break the ice, build the neighborhood. You’ll be glad you did.

We’ve helped people find good neighborhoods and can help you, too. Let’s talk: Kevin and Jennifer, REALTORS – 904-422-7626 http://www.HanleyHomeTeam.com or http://www.HanleyShortSales.com