I've been reading through the news articles and see that it's the same ol' stuff. Weak housing sales (not as robust as 2002-2003), falling home values, tighter lending criteria (yeah, you have to have a job or source of income now), etc.
But no matter how much doom and gloom that's being posted out there, fact remains that homes are being sold and agents are making money.
And ofcourse, those who are making deals, aren't telling you where this is at.
For many homebuyers, REO properties are the way to go for the best deals. Prices are down in all of the nine Bay Area counties. Even the "untouchables", San Francisco, Marin, and San Mateo counties are seeing double figures in home value erosion.
Savvy investors are quietly buying REO properties in the harder hit areas as these buys are starting to "pencil out" amidst a tightening rental market. One agent in Danville, CA says that he's doing a "brisk business" with his seven individual investors. All of his sales to investors are rented out by the close of escrow!
Fannie Mae is considering opening offices in California and Florida to deal with the foreclosed properties on their books. They may even consider bulk sales to investors. (return of the RTC?) Agents and active homebuyers are looking to deal more with bank owned properties as they are
"priced to sell", rather than dealing with homeowners that are uninformed by their agent of the competing market surrounding their home or unrealistic on their asking price, or both.
The distressed homeowner needs to come to grips with their situation and proceed with disposing their property when other remedies have been exhausted or just aren't feasible. At this point, the distressed homeowner's greatest asset is their credit.
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