The big, bad banks! Yes, they win yet again!
I do hate to be the harbinger of bad news... when indeed people are seeing foreclosure filings dropping as much as 58% here in CT for the first half of the year. Cause for celebration? I think not. Don't break out the champagne just yet.
I heard from a very reliable source (journalists just don't name their sources, and neither do snitches), who heard from an even more reliable source high up in the banking industry (oh wait, is that finally a perfect example of an oxymoron???) that lenders are NOT willing to foreclose on those nice, big expensive homes.
Nope, they have too much on their plate and certainly don't want to pay for the upkeep. So, better to let the owner stay put, free of charge. The idea is the home owner will continue to take care of the property while living for free for who knows how long.
Not one word was spoken about the MERS mess, robo signing, lost documents. Of course we in the trenches know these are the things that have brought the foreclosure rate for your average home to a screeching crawl. And once the lenders figure out how NOT to get sued they will be singing "we're back in the saddle again"!
Except for those lovely, big, expensive homes. It would seem that those are going to take even longer. I have tried to wrap my head around this, it just seems so unfair to me. The poor, struggling average home owner will be out on the streets faster than a speeding bullet. But those who borrowed MILLIONS on homes and are no longer paying can live for free. What a system!
In the meantime I see many smaller homes sitting in limbo, vacant, deteriorating, no for sale sign on them. And when they do hit the market the lenders will expect what they consider to be "fair market value" based on what they are "into the house for". (Another load of cow pies). Yet after being left vacant for so long they become unsaleable, unwanted, unable to receive financing, a real blight to the community and a thorn in our real estate backside!
Me? I think short sales are the best solution. It will get people to move on, get homes taken care of again, new owners to live in them and love them. It will help our ailing real estate market along. It is a good idea on many levels. However.... why bother to buy a short sale when the lenders are historically impossible to deal with? Most buyers and agents smell a short sale they are gone like yesterday, no looking back. I know that some people are having great success with short sales, but in all honesty, when you have to wait 12 weeks or more for an answer it really is not conducive to a robust real estate market!
I am one real estate agent that is tired of the load of cow pies being heaped on us by the short sightedness and greed of the banking community and its investors in this country. And now I am heaping my coveted Cow Pie Award right back on 'em!
When you add to the above the great idea that buyers need to have MORE money down to purchase a home, this was a slam dunk for them to win my award! Again....
Andrea Swiedler, Realtor, Southern Litchfield County Real Estate
2017 President, Greater New Milford Board of Realtors
2017 Connecticut Magazine 5 Star Realtor
Coldwell Banker Residential Brokerage
Litchfield County Regional Office,375 Danbury Rd, New Milford, CT 06776
© Andrea Swiedler 2009 - 2017
Always do right. This will gratify some people and astonish the rest. - Mark Twain