Economic News VISIONVICTORYMANIFESTO.COM The unemployed who are not included in the authoritative number has doubled in the past year. finance.yahoo.com Option Arm Chart www.calculatedriskblog.com Option Arm payment shock, payments can double or even triple www.pueblo.gsa.gov 1.3 Trillion total, WSJ Subprime estimates As of April 2009, 34% of subprime were 60 days late and 14% were in foreclosure. The vast majority reset in 2007/2009 750 Billion, WSJ estimates of Option Arms taken out from 2004-2007. As of April 2009, 37% of Option arms were 60 days late and 19% were in foreclosure. The vast majority will reset in 2010/2011/2012

www.shortsaledemo.com A small sale occurs when the proceeds of a real estate sale fall small of the balance owed on the property.[1] In a small sale, the bank or mortgage lender agrees to discount a loan balance due to an economic or financial hardship on the part of the mortgagor. This negotiation is all done through communication with a bank’s Loss mitigation department. The home owner/debtor sells the mortgaged property for less than the outstanding balance of the loan, and turns over the proceeds of the sale to the lender, sometimes (but not always) in full satisfaction of the debt. In such instances, the lender would have the right to approve or disapprove of a proposed sale. Most Small Sales leave a deficiency balance for which the Mortgagor / Borrower is still liable. In 99% of all cases it is not a settlement-in-full. A deficiency balance will remain while the mortgage broker, real estate agent / broker, loan officers, title and closing agents still remain getting their profit. And no regulatory agency governs this hybrid transaction. Extenuating circumstances influence whether or not banks will discount a loan balance. These circumstances are usually related to the current real estate market climate and the individual borrower’s financial situation. A small sale typically is executed to prevent a home foreclosure. Often a bank will point out to allow a small sale if they believe that it will result in a smaller financial loss than foreclosing. For the home owner …