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Category Archives: Mortgages

Finding the right housing assistance programs for single mothers

Of all the areas which people are in need of the most, it is the area of housing. Having the right shelter for you and your family is critical to your safety and survival. That is why, there are housing assistance programs for single mothers in each and every state in the United States.

There are numerous programs which are not only accessible to single mothers but additionally to those individuals who have a very low income and cannot pay a bank mortgage as well. The Housing Choice Vouchers Program is the kind of program where people have a really low income and are in need of serious housing help. Using this program, families who have children can access vouchers to enable them to pay their rent or mortgage payments. This is just one of the programs which provide help for single mothers and also other low income families in need.

Why You Should Consider Extending Your Property Lease.

Unfortunately a lease is a decreasing asset and as its term reduces so does the value of the property. During the first years of the lease the decrease in value is usually offset by increases in the housing market, always supposing of course that the property market is increasing year on year.
However as the term reaches 70 years or less it becomes more difficult to obtain a mortgage on usual terms. Therefore becomes difficult to sell the property as leasehold and so it reduces in value.

A lease extension reverses this process and the full value of the property can be obtained on sale. This is without a doubt the main reason people extend leases on property

Before the Leasehold Reform Act leaseholders were at the mercy of landlords, some of whom who took the opportunity to charge high premiums for the extension and to increase the ground rent.
The majority of leasehold property owners will be able to extend under the above legislation.

However there are some legal requirements that must be met.
The two most crucial are:
1 The property has to have a lease with an original term exceeding 21 years.
2 You have to have owned the leasehold for at least 2 years.

What am I entitled to during the procedure?
You will be entitled to:
• An extension of 90 years. i.e. 90 years added to your remaining term.
• Nil ground rent. i.e. ground rent is reduced to zero for the entire term of the extended lease.
• The premium is calculated under the legislation i.e the landlord cannot name the figure.

When extending a Lease:
Providing that there is not a missing freeholder the landlord is entitled to compensation for the loss he will experience on granting of the Lease extension. This compensation is essentially the premium that you as the leaseholder will pay. It is made up of the following:
• the diminution in the value of the landlord’s interest in the flat; that is, the difference between the value of his interest now with the present lease and the value of his interest after the grant of the new lease with the extra 90 years.
• Compensation for loss arising from the grant of the new lease.

Background
Under the Leasehold Reform, Housing and Urban Development Act 1993, as amended by the Commonhold and Leasehold Reform Act 2002, a group of leaseholders are entitled to apply to the freeholder of their building to buy freehold.

Why should I purchase the freehold?
The majority of leaseholders opt to purchase the freehold in order to run their own affairs and to have direct control on the management and maintenance of the building. It is also another way to obtain a lease extension if lease terms are low.

Get an Orange County Short Sale Realtor for Sure Deals

If you are a homeowner aiming to get rid of your home through a easy sale, you then need to have started to construct your short sale package. And what do you know? The entire course of action isn’t easy at all! The essential paperwork along with the specific situations that will qualify you for this sort of sale can be many.

To get a better chance of qualifying, you’d do well to hire the services of a trusted Orange County Short Sale Realtor. Specialists who have had experience with ins and outs of Orange County short sales can keep yourself on the correct track to marketing your home.

Fundamentally, a short sale would involve someone who cannot afford the payments on the mortgage loan of their home. The particular homeowner could possibly have fallen directly into a big debt with all the other payments he could have had to produce, thus clearing all banking accounts and having no more savings to speak of; he could also have lost his career, or already been demoted to one that has a lower income; or even he may have accrued large medical expenses that keep him struggling to pay off his / her mortgage.

At the same time, the residence’s value has now fallen below the debt that the homeowner is intending to pay off. If this is the scenario, the actual homeowner might be qualified for a short sale-the bank or lending firm may well agree to take the earnings of the sale of the house since the homeowner’s full payment, even when it is below the total financial debt. The remaining financial debt will be cancelled.

This would be the scenario if the homeowner’s short selling offer has become approved by the financier. To get there, the home owner can be served by an Orange County short sale realtor in planning the crucial needs the lender will probably be evaluating.

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