Banks REO Blow Up will case a ripple effect and it is far reaching.
This just in from our one of out students:
"I just wanted to remind you, though I am sure you know already, that the realtors you are negotiating with have had all their REO deals frozen.
The realtor I just sent over this morning said her office had 6 deals frozen last Friday. The realtors you are talking to are in a similar situation.
That makes my house look a lot sweeter, as it is a short sale ready to go.
Mary"
See who else it is going to affect and why it is going to be good for realors and short sale investors:
- Buyers
- Contractors who were going to repair the home. This alone has a massive effect on employment. Hard working Americans who build America are abruptly out of work, again.
- The manufacturing and supply chain of material needed to renovate repurchased foreclosed houses.
- Movers
- Closing attorneys/Title agents
- Appraisers and those agents do mass amount of BPO's.
- Appliance retailers and wholesalers and manufacturers
- Neighborhoods will suffer more for additional times that houses sit vacant and abbandoned.
- Home Owners Associations and Condo Associations that go even longer with no sort of payments.
- Owners who moved away and have to maintain the house. Some municipalities file criminal complaints against owners who don't mow the grass or fix vandalism beyond their control.
- Owners who have to pay insurance on an unwanted home. Without insurance, the homeowner in limbo will be on their own if they're sued by someone who gets injured on the property.
- Realtors, especially Realtors who rely heavily on listing REO's.
This is just a brief and partial list of those who are immediately affected by this halt. The ripple effect of the foreclosure freeze is yet to be seen.
The losses incurred by all those affected will cause more unemployment which will cause more foreclosures.
This foreclosure halt is truly a crisis within a crisis.
However in every crisis, Hunter has a plan!
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