My sister called yesterday from International Falls in Minnesota. She asked how to find Winnipeg in Manitoba, Canada -- whether Winnipeg was east of west of International Falls. I wanted to know what the heck was she doing in International Falls? She lives in Minneapolis. Seems she grabbed my niece's and her passports, jumped into the car and took off for Memorial Day weekend.
What kind of person drives 5 hours without any idea of how to get to her destination? Oh, wait, that's my sister we're talking about. The same person who installed a basement egress window without protection to prevent flooding.
Google maps gave me the directions to Winnipeg, which I repeated to my sister over the phone. Sadly, it's another 5 hours to Winnipeg from International Falls, and she was only halfway there. I suggested she spend the night in Kenora and make her way into Winnipeg in the morning.
See, to have a plan, it helps to have a Point A, a Point B and a map that shows how to get from one to the other.
This makes me wonder about Obama's foreclosure alternative plan that favors short sales over foreclosures. We're at Point A -- we have tons and tons of foreclosures, foreclosure activity was up 32% for April, according to RealtyTrac. We'd like to be at Point B -- where homes in default are quickly sold, without going through foreclosure and sitting vacant for months.
I don't see the map that gets us there.
The modifications to Obama's Making Homes Affordable plan asks for voluntary participation and the sets forth the following compensation for a short sale:
- Lenders can receive a $1,000 incentive from the Treasury to do a short sale
- Borrowers can receive up to $1,500 to relocate after a short sale.
- Junior lien holders can receive up to $1,000 from the Treasury to release the loan, facilitating the short sale.
If this plan will help Sacramento home sellers avoid foreclosure and complete a short sale, I'm all for it. But until I see a road map that clearly outlines how we will get from Point A to Point B, I have my doubts.
The Short Sale Savior, by Elizabeth Weintraub, available at Amazon.com
Photo: Big Stock Photo
Elizabeth Weintraub is an author, columnist for The New York Times'-owned About.com, a Land Park resident, and a Land Park real estate agent who specializes in older, classic homes in Land Park, Curtis Park, Midtown and East Sacramento. Weintraub is also a Sacramento Short Sale agent who lists and successfully sells short sales throughout Sacramento. Call Elizabeth Weintraub at 916.233.6759. Put 35 years of real estate experience to work for you.
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