Principal forgiveness gains traction as a money saver

WASHINGTON - April 11, 2012 - Fannie Mae and Freddie Mac could save $1.7 billion if they forgave principal on some distressed mortgages, a new analysis shows.

The Federal Housing Finance Agency - which regulates the mortgage giants - may decide in the next few weeks about whether to use principal forgiveness as a foreclosure prevention tactic, said Edward DeMarco, acting director of the FHFA while speaking Tuesday at the Brookings Institution.

The FHFA, and DeMarco, have come under pressure to allow Freddie and Fannie, which own or guarantee 60 percent of all home loans, to do principal forgiveness.

FHFA's previous analysis has shown that forgiving mortgage debt is no more effective than other loan modification efforts at reducing home loan defaults - and could cost taxpayers more money since Freddie and Fannie were placed under government control in 2008.

But new incentives from the Treasury Department may change that, FHFA's preliminary assessment shows. With those, Freddie and Fannie could curb losses by $9.9 billion if almost 700,000 homeowners received a mortgage reduction, FHFA says. That's $1.7 billion more than if those homeowners received principal forbearance - which means they defer payment on a portion of their loan.

DeMarco cautioned that any principal forgiveness would only help the U.S. housing crisis at the "margin," given that 11 million homeowners owe more on their homes than they're worth, based on CoreLogic estimates.

He also warned that some homeowners might stop paying their mortgages to try to get a principal reduction. That could wipe out benefits to Freddie and Fannie. Also, Treasury incentives come from taxpayer funds, so taxpayers would still be "on the hook," says Anthony Sanders, real estate finance professor at George Mason University.

Principal reduction "is clearly getting more traction" as a foreclosure prevention tactic, says Laurie Goodman, senior managing director of Amherst Securities. The recent $25 billion mortgage settlement requires loan servicers to do at least $10 billion in principal reduction. That doesn't cover Freddie or Fannie loans.

Principal forgiveness supporters say it'll lead to fewer foreclosures and help stabilize housing prices. FHFA's new analysis - and DeMarco's discussion of it - signals that a change is likely, says Ira Rheingold of the National Association of Consumer Advocates.

DeMarco is "under enormous heat from the Obama administration" to do so, Rheingold says.

© Copyright 2012 USA TODAY, a division of Gannett Co. Inc., Julie Schmit.

I'll See You On The Ranch

Price: $369,000
2 Bedrooms, 2 Bathrooms
2156 Square Ft.

Listing # A3955781

Beautifully appointed Carmel floor plan situated on Cypress Links golf course in Lakewood Ranch. Wood flooring throughout living area, crown molding, wood cabinetry in kitchen with Sile Stone counter tops, stainless steel upgraded appliances.Breakfast nook has window seat, two bedrooms & den, 2160 sq ft of living space. Gorgeous heated pool with spacious west facing lanai from which to enjoy the sunsets. Presidio also has a heated community pool & spa for your enjoyment. Maintenance free living at it's best.
See This Home in more detail under Featured Properties..............

I'll See You On The Ranch............

Beautiful maintenance free home in Lakewood Ranch Country Club. Private setting with Lake view. Double door entry with Stone columns. Diagonal tile throughout this lovely home. Open & Bright. Living room has huge aquarium window. Crown Moldings/ Tray ceiling. Gourmet kitchen with custom light oak cabinetry. Granite counters with designer's edge. Double sink. Stainless appliances. Gas cook top w/ hood. Eat at counter with bar stools. Detailed backsplash. Huge dining room w/ pass through to kitchen area. Transom Windows give this room extra natural lighting. Surround sound. Enter Master Bedroom through private double doors. Walk In closets. Master Bath offers dual sinks. Corian counter tops and a ladies vanity. White trim mirrors. Spacious 2nd & 3rd bedrooms. Family room w/disappearing sliding doors. Double try ceiling. 3 bed. 3 baths. Den has sliders off to lanai and outdoor kitchen complete with grille, hood, burner & sink. Large picture window over outdoor kitchen that views the lake. Pool & Spa w/ self pop-up cleaners. Remote for pool. Child protective fence. Perfect Paradise Home for someone looking for ultimate privacy.

13206 Lost Key Place

Elegant Country Club home in Lakewood Ranch. Private preserve setting with plenty of back & side yard. Enter this master piece through double wood doors. 4 bedrooms & every bedroom is a different theme. 3 ½ baths. Three pillars that tastefully separate the large dining room from living room. Stunning Crown moldings in all rooms. Tray ceilings. So bright & natural lighting. Large porcelain tile on diagonal. Gas Stone fireplace. Surround sound. Huge living room w/ sliders off to fabulous party lanai. Built-in's and niches. Butler pantry from dining area to kitchen. Wine cooler. True custom draperies & blinds. Front office has beautiful wood floors. Huge Master bedroom w/ wood flooring. Door off to lanai. Massive walk-in & custom built in's in closets. Ladies your dream has come true. An amazing boutique like private room walk in closet with skylight & French doors. Totally finished with built-ins. Area for shoes, sweaters etc. Master bath w/ large deep Jacuzzi. Dual sinks & walk in shower. Granite counter tops. Chef's dream gourmet kitchen fit for a king & queen. Viking stainless steel appliance & warming drawer. Sub-Zero Refrigerator. 6 spice sliding drawers. Island w/ 6 burner cook top & sink. Granite counters with thick double edge. Long eat at counter b/w kitchen & family room. Light wood custom cabinetry / glass lighted see through. Walk I pantry. Pass through window from kitchen to lanai. Water filtration system through home. Desk off kitchen area/ extra cabinets for storage. Breakfast nook overlooks pool & spa with another aquarium glass window. Complete outdoor kitchen for grilling and entertaining. Salt Water Pool / self pop up cleaners. 3 car garage. A True Must See! Gorgeous Turnkey Separate Furniture Package Available.

I'll See You On The Ranch..............

http://manage.top5inrealestate.com/videos/preview/1831

I'll See You On The Ranch...................

7033 Beechmont Ter. / MLS # A3957557
Private - In Ground, Heated Spa, Heated Pool, Gunite/Concrete
4 beds. 4 baths / 3999 sq. ft.
$781,324

Lakewood Ranch Country Club Home. Custom Built by Arthur Rutenburg. This home offers 4 beds./4 baths, an office, game room & a spacious upstairs bonus room that could easily be a 5th bed. with en suite full bathroom. Custom features include decorative ceiling,crown moldings,wood floors,built-ins & niches. The kitchen has quality wood cabinets, glass door display cabinets, tiled backsplash, granite countertops,stainless steel appliances and a center island. Expansive lanai with heated pool & spa. Outdoor kitchen. Lake view. Side fenced yard. Circular paved driveway. 3 car garage. Large lot for Privact.

7212 PasadenaGlen / MLS # A3957171
Private - Child Safety Fence, Gunite/Concrete, Heated Pool, Heated Spa
3 beds. 3 1/2 Baths / 3502 Sq. Ft.
$879,000

Premier Street in LWR Country Club. Ultimate privacy on a spacious lot. This home boasts an Architectural design. Enter through double wood front doors. Stunning warm tile throughout. Two wood trim pillars upon entry. Large dining room, very open with niches/designer ceiling. Archways to each room. Grand living room offers French doors off to a tropical private lanai with Travertine pavers that never get hot! Large heated self cleaning pool & spa, auto remote for all settings. Bright family room with French doors, 6 transom windows/double tray ceiling. Designer draperies, blinds & paint. Dedicated office with wood floors & built-in's. Chef's gourmet kitchen, upgraded granite countertops, large island with veggie sink & walk in pantry & designer cabinets. Stainless steel appliances & stove hood. 6 burner stove with griddle. This 3 bedroom, 3.5 bath home on a beautiful cul-de-sac. Each bed has it's own bath. Gracious master bedroom has designer carpeting/tray ceiling/French doors & a lovely sitting area. Large master bathroom with marble counter tops, dual sinks, elegant hardware, vanity & bidet. Fancy mirrors over sinks/coffered ceiling and shelves. A huge Jacuzzi tub. 2 air handlers. New dishwasher Jan. 2012. 75 gallon water heater with circulatory pump for instant hot water. Video security in 3 rooms & every side & perimeter of home. 8 cameras. Lush lavish landscaping. Paver driveway to side entry expanded 3 car garage with golf cart space & storage. John Cannon Allora VI floorplan. A Gem of a Home!

7338 Edenmore Street / MLS # A3955972
Private - Child Safety Fence, Gunite/Concrete, Heated Pool, In Ground
2 Beds. 2 Baths / 1960 Sq.Ft.
$387,500

Gorgeous move in ready home in the maintenance free neighborhood of Edenmore. Expanded Neal 'Calais' floorplan. Two bedrooms plus den. Open great room plan. Tray ceilings with crown molding in living room and master bedroom. Pocketing sliding doors from living room to lanai. Chefs kitchen with Stainless steel Viking refrigerator and gas range, Miele dishwasher. Beautiful wood cabinets with stainless hardware, customization of cabinets and rollouts. Caesarstone countertops, glass tile backsplash. Quality light fixtures. Large floortile in living areas. The den has bamboo hardwood flooring. Plantation shutters throughout. New upgraded carpet in both bedrooms. Master bedroom has two custom closets. Additional cabinets in laundry room. Storage in garage. Gas heated pool. Preserve view. Community pool too!

I'll See You On The Ranch........

Arthur Rutenberg Homes is a builder here in LWR that should be considered.

You can duplicate their model " Bardmoor " 1172 B. You can build to suite your needs.
Elevation "D" for $388,400 including a standard lot $93,000. Depends on location of where you build.

They also offer " Bermuda " model. 1129 B to build Elevation "A" at $485,600 Including a standard lot at $115,800. Depends on where you build.

Prices subject to change.....

Call The Soda Group for details.
941.809.7759
941.961.5857

I'll See You On The Ranch.....................

1. Know what you can afford before you fall in love with your dream home.

2. Consider additional expenses that come with owning a home like property tax, insurance, and repairs.

3. Be flexible on the little things. It would be wonderful to find a home with everything you want, but those are hard to come by - distinguish nice-to-haves and must-haves early.

4. Have imagination and look beyond paint colors, wallpaper, or other easy and affordable things you can change.

5. Don't compromise on the big things, such as enough bedrooms to accommodate additions to the family or space for an office if you work from home.

6. Always inspect even if the surface looks great; it's important to know if anything major is wrong and what it will cost to fix.

7. Think about the future in regard to the neighborhoods, surroundings, schools, and developments.

I'll See You On The Ranch..................

2012 is off to a promising start. Mortgage rates continue to drop and have remained under 4% for nearly two months. Home sales are strengthening and pending home sales, a measure to gauge future sales, are at their highest levels since March 2010.

Job growth has been increasing for most of 2011, with unemployment dropping to 8.4%. As more people are getting jobs, consumer confidence has also been increasing. However, underemployment continues to be a problem for a stronger recovery. The underemployment rate is 18.1%, and there are still a significant number of people working part time, who would like to have full-time work.

Even with substantial national improvements, this continues to be a "one neighborhood at a time" recovery. Payroll jobs were up in 25 states, but down in 24, demonstrating the delicate state of the U.S. economy. Global factors such as the European debt crisis are also complicating a more robust recovery. Strong guidance is needed from local and global leaders to continue this growth, as well as allow for business to maintain momentum toward building and expanding upon the opportunities that exist.

Sources: Bureau of Labor Statistics, National Association of Realtors

I'll See You On The Ranch..................

It's been more than a year of having discussions with banks over the foreclosure practices. This deal should should offer relief to more than one million U.S. homeowners who are having issues paying their banks or have lost their homes to a foreclosure.

Why & What happened here ? It's called Robo-Signing! This is when employees of these banks just glanced at paperwork to determine whether all paperwork is in tact.

This has come to be the largest settlement ever of $26 billion.

I'll See You On The Ranch...........

Price: $849,900
4 Bedrooms, 3 Bathrooms
1 Partial Baths
4001 Square Ft.

Listing # A3955250
Total Acreage: 1/4 Acre to 21779 Sq. Ft.
Location: Cul-De-Sac
Zip: 34202

I'll See You On The Ranch.........

http://pix360.com/phototour/1420/

Magnificent Award Winning Lee Wetherington Expanded Addison Model. 2-Story Home with a Fabulous Golf Course and Lake View. Grand Entry way with tile throughout. Stone Columns. Generous Dining Room w/buffet & designer ceiling. Lovely living room w/stone fireplace. Aquarium glass window overlooking pool & spa area. Tray ceiling/crown moldings. Gourmet Kitchen/large island with veggie sink. 2 dishwashers. Beautiful cabinetry/Walk in pantry.Granite counters. Breakfast area. Office with private entry from garage. Game room off lanai. Family room with sliders that open off to a huge lanai, bar and outdoor kitchen, TV cable & fireplace. Inviting pool & spa with self pop up cleaners. Charming master bedroom/built-in walk in closets. Grand master bath with dual sinks/granite, separate tub & shower/vanity. Gorgeous mirrors. Outdoor area off master to sit and enjoy a cup of coffee viewing the lake. 5 bedrooms/4.5 baths. Vast bonus room with huge lanai where you can view 2 lakes and the Kings Dunes golf course. Western Exposure. 4 car garage. Wide radius driveway.

Offered At : $1,346,000
Bedrooms 5
Baths 4 1/2
Sq. Ft. 5070
Listing # A3955326
Location: Cul-De-Sac,Golf Course View,Oversized Lot
Lot Size SqFt: 20106

I'll See You On The Ranch.......

London Bay Homes is building a 14,000-square-foot home, now under construction, and a 13,000-square-foot home planned to break ground soon in The Lake Club. Westwater Construction has a 20,000-square-foot home soon to break ground, and Todd Johnston Homes has a 17,000-square-foot home planned to break ground this year, taking up 3 homesites.

Paradise Homes has a 19,000-square-foot home planned for 2 homesites. "People are getting more comfortable with home values," said Mark Miller, owner of Westwater Construction. "In addition, while the home we are building is two-to-three times the size of the average home in The Lake Club, because of energy efficient construction techniques like solar and LED lighting technologies, it will use the energy and power of a home one -third its size." Lakewood Ranch is one of the largest green-certified master-planned communities in the United States.

California-based John Burns Consulting just ranked the master planned community on Florida's West Coast as one of the top selling master planned communities in America with 391 new home sales in 2011. Coming in at No. 9, Lakewood Ranch outpaced many other well-established and iconic communities such as Stapleton in Denver, Summerlin in Las Vegas and more. "With our new sports campus, new commercial construction this year totaling upwards of $150 million, and new rental projects springing up, we're proud that Lakewood Ranch has become the premier new-home destination on Florida's West Coast," said Rex Jensen, president and CEO of Schroeder-Manatee Ranch, Inc., the developer of Lakewood Ranch. "That is definitely translating into more visitors, which in turn means more sales."

I'll See You On The Ranch...........

Offered at: $1,346,000
See Virtual Tour under Featured Properties......

I'll See You On The Ranch.......

Homeowners!

Great time to freshen up your lanai and screen enclosures! We recommend a few companies that do repairs and upgrades on screen enclosures. Do it now while there are no bugs. Call MGA Insurance Group for a list of referral companies - 907.3828.

I'll See You On The Ranch........

Stunning Lakewood Ranch Home on a private lot. Glass leaded entry doors & 2 columns as you enter. Large dining room. Living room with fireplace/marble trim. Gourmet kitchen with Island. Long counter and breakfast area. Crown molding. Double tray ceiling in family room. Tile and carpeting. Office with built-ins and wood flooring. Massive Upstairs bonus room. 4 bedrooms. 3 full baths. Surround Sound. Master bedroom with generous walk-in closet. Master bath has dual sinks/center tub & separate two sided shower. Pool and spa with outdoor kitchen has fireplace. Pavers. 3 car garage.

Price: $849,900
4 Bedrooms, 3 Bathrooms
1 Partial Baths
4001 Square Ft.

Listing # A3955250

Additional Rooms: Bonus Room
Air Conditioning: Central
Appliances Included: Dishwasher,Disposal,Dryer,Microwave,Range,Refrigerator,Washer
2 Bedrooms: 13x12
3 Bedrooms: 13x14
Bonus Room: 27x22

I'll See You On The Ranch..........