HUD announced that it has launched preventloanscams.org in conjunction with the Loan Modification Scam Prevention Network.  The site provides consumers with easy access to report a suspected scam, tips on avoiding a loan scam, and resources to help distressed homeowners.

Consumers are offered free counseling from well trained non-profit counselors as well as details on preventing foreclosure.

Since the beginning of the real estate “bubble” headlines much has been made of the “median Price”.  Could there be any other indicator that might help people understand what is actually happening in the real estate market?  You can find report after report citing the median price and it doesn’t seem to connect to the value trends that are reported.  
Bob Hunt explains: Focusing on the Median Price Can Be Misleading.

Many homeowners are facing sacrifices in order to make mortgage payments on their homes which have 0 or less equity.  Most people would agree that at least 10% of households do not have the same income they had just 3 years ago.  Additionally it is estimated that 15 million homeowners owe more than their home is worth.

While being “underwater” on your home may not spell disaster for some, many face very difficult choices daily in order to pay their mortgage.  So who can blame parents for moving into an affordable apartment or combining households in order provide necessities for their children?

I can site case after case of these responsible families trying to sell their property so they could get out from under the mortgage.  The plan is to get into a home that is less expensive so they can live within their means.  So they listed their property, attempted to work out short sale arrangements with the bank, and competed with the other responsible families to market and sell their homes.  In nearly every case they held on as long as they could, many attempted short sales while others just finally threw up their hands and walked away.  This “responsible” household is now reported as a foreclosure statistic.

With a declining market, high unemployment and a poor economy measures need to be implemented in order to prevent more Americans from finding themselves in a similar situation.  It was reported last week that the HAMP (Home Affordable Modification program) participants is on the rise and growing.  We need to improve and expand this program.  Let’s make a real effort to help our fellow Americans and ease up on any new regulations that may have unintended consequences.  While this program may only provide payment reduction and no mortgage balance reduction, as the rate of foreclosure declines property values will increase.

Mortgage rates ease slightly and are still hovering just above the low of December.  Many are forecasting a rise in rates on the horizon.

Inman News offers this report.

The Mortgage Bankers Association Forecast.

The deadline of April 30, 2010 to take advantage of the Federal Tax Credit is fast approaching.  April 30th being the deadline to have a property under contract, AND then must successfully close the property by June 30th.

There are at least 3 problems with waiting until the end of April to enter into a purchase contract.  There will be more competition in April for the best homes available at that time.  Secondly, the percentage of accepted contracts that successful close has dropped.  Lastly if you are in a position that you must close on the property (under contract in June) or you will potentially lose $8,000, your contingency negotiating leverage is lost.

These issues don’t address the stress of working on a deadline and the sacrifices made in order to meet it.   Real estate transactions are complex and involve many aspects including mortgages, insurance, inspections, disclosures and more.  By properly preparing and working on your own timeline it can be so easy that the hardest part is actually moving your belongings.

If you want to take advantage of the available tax credits act now to avoid the many potential pitfalls of buying in April.  Inventory is currently abundant, mortgage rates are low, and you won’t be in competition with those that are waiting until April to get started.