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It's really NOT bad news-- No Really I mean it

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Mortgage and Lending with Osceola Mortgage

 If I called you 2 yrs ago and said that property values were headed down as much as 40% in some markets, that Fannie and Freddie would cease to exist as we knew them, that Countrywide would be taken over, along with Merril Lynch and that Lehman Brothers  would file BK and AIG would become a ward of the Federal Government,,,,  you would have thought I was crazy.  Well folks that's where we sit today.

Now tonight the Gov't is looking at creating a "RTC type" agency to take the bad paper and thereby help free up capital markets. WOW, thats GREAT news!!!! The RTC was the only time I can ever remember where the Govt did somehting right ( sorry the libertarian in me comes out now and then). If the treas and Fed can get those bad loans at the price they have been marked down to ( and tax advantages already taken by banks) then they can come back to the borrowers still in homes and modify them therby adding stability to prices. Then the new modified loan at  today's value can be paid on in a timely manner. For the others they can get the homes fast and liquidate attruly bargain prices and the inventory will drop, again adding stability.

This type action is not a cure all and certainly some will still be hurt. However, this could ( stress) be the best move anyone has made in 2 years. For about 20 months now, the secondary money market has been shut down----banks are going broke and can't get access to capital. That is a key reason that lending has slowed so much. By taking the pressure off the bank's books fromthe bad loans, their capital requirements get relief and they can start to lend again.

Now is the time to plant new seeds. Have great expectations. The ride is bottoming and FAST. If you have survived the last 20 months you have proven your tenancity,NOW we can go forward and prosper. There will be more hiccups to be sure, but now everyone realizes how dire the credit crunch has been and they are finally reacting.

I'm not a Realtor but right now we are focused like a laser beam on marketing to buyers. Creating streams of people that either have never bought before or have been on the sidelines. Imagine when we talk with them and we tell them, "prices are the lowest comparatively than in years, rates are great and if you need it, we can finance you for 100% with NO PMI"  Now call me crazy, but I think we can sell that, and in volume.

For those of you that are "consultants" this market may not be for you. If you are a  professional sales person, a closer, you can help a lot of people and do a great service the next 5 years. Build a pipeline of buyers now, get good at referrals, find a good mortage professional and go sell something!!!!!

God Bless and Great Selling this weekend

 

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