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» VISIT US ONLINE @ DSNEWS.COM 109 tions about fees on Veterans Administration refinance loans were raised, we resolved those concerns by improving our internal controls and made compensation available to VA customers who closed a refinance before that time," Sloan said. "Settling this longstand- ing lawsuit allows us to put the matter behind us and continue to focus on serving customers and rebuilding trust with our stakeholders. We are committed to serving the financial health and well-being of veterans, and we will continue to honor that commitment now and in the future." e two VA-related suits aren't the only legal troubles Wells Fargo has faced as of late. In late July, the bank revealed it would pay out $80 million in remediation funds for forcing auto insurance policies on customers, and before that, the bank was accused of opening more than 2 million unauthorized accounts in its customers' names. ing so. For millennials, renting a room instead of a one-bedroom house could save them on average $24,000 per year. Some cities fared better than others when it came to the savings multi generational room- mates offer. Washington, D.C., had the most homes with spare rooms—over 5.6 percent of all homes in the metro. It is estimated that renting out a spare room could net a D.C. homeowner an additional $941 a month. Boston; Cambridge, Massachusetts; New York; Oakland, California; and San Francisco were the most profitable places to rent out a room. San Francisco was the clear win- ner, boasting an additional annual income of $22,000 a year, or $1,800 per month. Renters in San Francisco can save $14,220 per year by renting a room instead of a one-bedroom apartment, which average $3,000 a month. Unsurprisingly, renters and homeowners in New York City could save a substantial amount of money as well—the second most out of all the metros listed. Estimated rent for a one- bedroom apartment would run a renter around $1,800 a month, while estimated monthly rent for a single room would only cost around $867, saving renters about $11,189 annually. Wells Fargo Puts VA Refi Problems Behind it Wells Fargo has agreed to pay $108 million to the federal government to settle long-time allegations that it improperly issued Veterans Administration (VA) refinance loans that weren't actually eligible for VA backing. e government filed the claim in 2006, seeking compensation for the VA, which took losses when many of the loans in question defaulted. According to the suit, the government alleged that some of Wells Fargo's VA Interest Rate Reduction Refinance Loans (IRRRLs) were not eligible for VA guarantees because the bank charged certain fees at the time of origination. ough the bank will pay the $108 million to settle the claim, Wells Fargo denies the government's allegations. e bank settled a related class action suit in 2011, compensat- ing veterans who were issued a VA IRRRL between 2004 and 2010 to make up for the origination fees charged at the time. In total, the suit cost Wells Fargo $10 million in refunds, with about 60,000 mortgagees receiv- ing $175 each. is new settlement, according to Wells Fargo CEO Tim Sloan, will finally close the door on the issue. "More than six years ago, when ques- HUD now expects that the servicer will make all necessary payments on the foreclosure before it will even consider taking possession of the home. Keep in mind, the HOA already has a vested interest in the borrower and property, which is very beneficial for the servicer if the servicer knows when and how to communicate with the HOA. e association effectively manages collections with the borrower and records liens early in the HOA delinquency. When servicers regularly monitor for HOA liens and engage with the HOA, they can see that happening early on and can react accord- ingly to protect their assets. ere are more than 350,000 HOAs in the U.S. With such a large number, the likelihood of servicers having at least some HOAs in their portfolio is inevitable. Eliminate portfolio risk by determining which properties are associated with HOAs and actively monitoring those HOA properties. Servicers who do not have the means to track all properties themselves should consider outsourcing to companies that specialize in managing HOA liens on their behalf. Now more than ever, servicers must decide to resolve HOA claims before they risk losing their well-earned returns. Damon Paxson is VP of HOA solutions at LRES, a national residential and com- mercial mortgage services company based in Orange, California, that provides valuations, REO asset management, and HOA solutions for the mortgage and real estate industry. With more than 15 years of continued growth, LRES offers managed business processes for the origination and default markets. For more information about LRES, visit LRES.com. San Francisco Homeowners Save $22K with Roommate Older generations aren't as fond of mil- lennials as millennials are of themselves, but sharing space with them could be in their benefit, according to a recent report by Trulia, especially in light of continued shrinking inventory. e report, dubbed "Boom-mates," ana- lyzed housing in the country's largest markets to weigh the cost-savings of roommates. Could baby boomer homeowners, many of whom are on the verge of retirement—or are already retired—supplement their income by renting out their extra rooms to millennials? According to the report, baby boomers could make an average of $14,000 a year by do- Utah Robyn Moody SALT LAKE REO RealtyONE Group Signature Sales Agent/Owner Robyn@SaltLakeREO.com 801-566-8288 Office | 801-859-2539 Mobile www.SaltLakeREO.com According to the National Association of Realtors July 2017 Existing-Home Sales report, Salt Lake City, Utah was reported as one of the metropolitan statistical areas where listings stayed on the market the shortest amount of time. KNOW THIS

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