Sacramento is one of The six scariest…
May 10th, 2008 Categories: Mortgage and Loans, Pre Foreclosures, Real Estate News, Real Estate Trends, Sacramento Real Estate, Shortsales
Number of foreclosures, steep price drops and high unemployment put Sacramento on the map last week as one of the six scariest real estate markets.
The House of Representatives will take up legislation Wednesday that would broadly address the nation’s housing crisis and could have the government assume control of up to $300 billion in refinanced home loans to be given to distressed homeowners.
It also includes a bill that will provide up to $15 billion (yes, billion, with a “b”) to allow governments to award loans and grants to purchase and rehabilitate owner-vacated homes…
I just wonder how long it is going to take for the industry to figure out they need to get these homes refinanced or sold before foreclosure… It isn’t hard to see that a home that is occupied, being cared for, where the grass is watered and mowed, is going to sell faster and for more than the same house with broken windows, a dead, overgrown lawn, with the dishwasher, stove, ceiling fans and light fixtures missing… not to mention the green pools and missing air conditioners!
This is not only a problem Sacramento area homeowners are dealing with; it is happening all over.
When will the short-sale or short-refinance be embraced and used as a tool to slow the tide?
As someone in the market for a house, I can attest that short sales are the worst houses at which to look. REO properties can be visited, and a sale is a real possibility with a bank trying to unload a liability.
With short sales, owners are already loosing everything (thats the definition of a short-sale) and can continue to live in the house until it sells. Viewing one of these houses can take days to schedule and when it happens, the house is neither clean nor inviting.
And lets not mention the banks who want to squeeze every last dolar out of the house and camp on offers at asking price for months only to have a lender third or fourth in line reject the deal mearly out of spite.
And if the sale does go through there is nothing to keep the previous owner from taking the stove, ceiling fan, A/C, etc.
Did I mention that the effect of a short sale on ones credit is the same as a foreclosure?
Conclusion, short-sales are not the answer, and neither is rewarding the foolish buyers who overspent their means while pricing us responsible buyers out of the market. It’s about time the irresponsible “buy-now” buyers of the last 5 years got to cool there heels and nurse their broken credit, while those of use who know what we can actually afford and stick to a realistic budget get a crack at the American Dream
As someone in the market for a house, I can attest that short sales are the worst houses at which to look. REO properties can be visited, and a sale is a real possibility with a bank trying to unload a liability.
With short sales, owners are already loosing everything (thats the definition of a short-sale) and can continue to live in the house until it sells. Viewing one of these houses can take days to schedule and when it happens, the house is neither clean nor inviting.
And lets not mention the banks who want to squeeze every last dolar out of the house and camp on offers at asking price for months only to have a lender third or fourth in line reject the deal mearly out of spite.
And if the sale does go through there is nothing to keep the previous owner from taking the stove, ceiling fan, A/C, etc.
Did I mention that the effect of a short sale on ones credit is the same as a foreclosure?
Conclusion, short-sales are not the answer, and neither is rewarding the foolish buyers who overspent their means while pricing us responsible buyers out of the market. It’s about time the irresponsible “buy-now” buyers of the last 5 years got to cool there heels and nurse their broken credit, while those of use who know what we can actually afford and stick to a realistic budget get a crack at the American Dream
That’s rather harsh regarding your comment about “irresponsible “buy-now” buyers of the last 5 years” . Not all of us that bought houses over the last 5 years are not or were not irresponsible buyers. Unfortunately, we are now stuck with a house that is worth barely half of what the mortgage value is and a payment due to refiing and getting caught up in the predatory lending fiasco that leaves one reeling.
That’s rather harsh regarding your comment about “irresponsible “buy-now” buyers of the last 5 years” . Not all of us that bought houses over the last 5 years are not or were not irresponsible buyers. Unfortunately, we are now stuck with a house that is worth barely half of what the mortgage value is and a payment due to refiing and getting caught up in the predatory lending fiasco that leaves one reeling.
The msnbc article that article is linked to and based on is inherently flawed and uses backward logic. All of the contributing factors stated are why the Sac market is where it is, but that does not make it scary to buy in NOW…Now is the time of opportunity! Mr. Hoyt, why would you link to and play off of an article that will scare buyers and uses backward logic? What is it about the real estate industry that brings out the wannabees?!?!?!? Get a clue!
The msnbc article that article is linked to and based on is inherently flawed and uses backward logic. All of the contributing factors stated are why the Sac market is where it is, but that does not make it scary to buy in NOW…Now is the time of opportunity! Mr. Hoyt, why would you link to and play off of an article that will scare buyers and uses backward logic? What is it about the real estate industry that brings out the wannabees?!?!?!? Get a clue!
Perhaps Joe the Real Estate guy is just upset that there is a realtor out there willing to tell the truth. Gee why would CAR and 99.9% of the other realtors tell you that the market has hit bottom and now is the time to buy? Perhaps it is because they are trying to coerce clients into buying a home they know will lose value just so the realtor can make a buck and keep up with their home they bought in the peak of the market like the rest of the losers.
No bail out!!! How is it fair to those of us who rented for the last 6 years because the market was falsely inflated?
Perhaps Joe the Real Estate guy is just upset that there is a realtor out there willing to tell the truth. Gee why would CAR and 99.9% of the other realtors tell you that the market has hit bottom and now is the time to buy? Perhaps it is because they are trying to coerce clients into buying a home they know will lose value just so the realtor can make a buck and keep up with their home they bought in the peak of the market like the rest of the losers.
No bail out!!! How is it fair to those of us who rented for the last 6 years because the market was falsely inflated?