7/27/2019 May 20 2013 933 Carolyn Listing Price - Melissa

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May 20, 2013

Karen L Bowerman3305 W Victor AveVisalia, CA 93277

Email: kdownesbowerman@yahoo.com

Melissa ChiangiPMZ Realty1230 E. Orangeburg Ave., #AModesto, CA 95350Email:mchiangi@pmz.comVia email

RE: Adjusting listing of 933 Carolyn Ave property to reflect market value increase

Dear Melissa,

Per our recent conversation regarding the 15 month, 45.3% increase in Modestoproperty values*, I wanted to follow up with you and Greg on adjusting the listing priceof the 933 Carolyn property upward to reflect the market trend. (*TrendVision May 2013)

As you recall, Greg and his counsel petitioned the court last July, 2012 to compel mysignature for a $275,000.00 sales contract on the property. I successfully argued to thecourt that the phantom income tax for the community associated with that sale would be

devastating. Thereafter, there was another contract offer at $400,000.00 and anotherafter that of $450,000.00. The upward property value trend for the 933 Carolyn propertyis self evident.

Gregs counsel, Mr. Goss referenced Zillow in 2012 putting the value of the home at$540,000.00. A 45.3% increase from that price point would yield a $784,620.00 valuefor the Carolyn property. There may be some downward adjustment to that figure toaccount for required property improvements and maintenance so a listing price of$735,000.00 may be reasonable. I have talked to Greg and he is amenable to lettingme work to upgrade the yard and improve maintenance on the property to increasemarket appeal.

There is a sense of urgency regarding an update on Gregs cooperation in completingand submitting the Loan Modification Application to Ocwen as we discussed in the emailI sent to both you and Greg on April 24th, 2013. The primary mortgage of $490,000.00with Ocwen and the equity credit line debt of $190,000.00 with Bank of Americarepresents $680,000.00 in mortgage debt against a potential market value in excess of$735,000.00. That means there is community equity in the property. Greg hasindicated that he sent the IRS payment in full for the IRS Tax Lien on the property.

mailto:mchiangi@pmz.commailto:kdownesbowerman@yahoo.commailto:mchiangi@pmz.commailto:mchiangi@pmz.commailto:kdownesbowerman@yahoo.commailto:kdownesbowerman@yahoo.com

7/27/2019 May 20 2013 933 Carolyn Listing Price - Melissa

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The IRS has not confirmed Gregs claim but I am concerned that once the IRS Tax Lienis removed, Ocwen will observe the increase in the market value of the property andpossibly foreclose even with the Bank of America debt unrelieved. If that happens thecommunity to will lose the equity value in the property.

Additionally, Greg indicated Bank of America was offering a 80% forgiveness on the$190,000.00 equity line debt. That would reduce the debt to $38,000.00 and we wouldbe exposed to approximately $45,000.00 income tax on the remaining debt forgivenessfor the unpaid balance of the loan. A total liability of $83,000.00 instead of $190,000.00.With a market value of approximately $735,000.00 and liabilities of a combined$573,000.00 ($490,000.00 + $83,000.00) - there is the potential of over $200,000.00equity in the property. At the very least, the property is obviously not upside down anylonger.

I have not received any response from Greg nor his attorney, Mr. Goss, regarding the

status of the Loan Modification Application. Can you please inquire on the status of theOcwen Loan Modification application with Greg at the same time you discuss theadjustment to the listing price of the property?

Please update me at your earliest convenience regarding the status of the Ocwen LoanModification application and updating the listing price on the 933 Carolyn propertyimmediately.

Warm regards,

Karen L. Bowerman

cc: Gregory Bowerman, Michael Goss