Hello my fellow Active Rainers from one of the leading foreclosure states - Georgia.
It is my opinion that we could be (or already are) in for a bumpy ride for our low income and credit challenged Buyers. Couple that with the fact that we are (and have been ) in a Buyer's market for a few years now and it's no wonder my hair gets grayer by the minute (but only my hair stylist knows for sure :>).
Here's today's scenario for me. I have Buyers coming in from FL this weekend with some credit challenges. They are paying out-of-pocket for their moving expenses and although they will be reimbursed, it cuts their savings down to nothing.
With sub-prime sources drying up all over the place, and regulations tightening, mortgage brokers are having one heck of a time getting ANYONE to approve these kinds of loans. The mortgage banker I am working with for this couple sent credit info out to multiple sources and actually was able to get ONE approval - a first at 9.25% and a 2nd somewhere around 12-13%. Anyone having flashbacks to the '80's?