Will there ever be Mortgage Company's again as we knew them?  So are you asking yourself if you ever really "knew" them?  If you are don't feel bad as others out here I am sure don't either.  I am talking about the Mortgage Company that would be located somewhere downtown, usually close to the middle where it would be visible.  Inside this building is a Mortgage Banker, Mortgage Broker, or Mortgage Lender who was always available for you if you ever had a situation come up that you as a Realtor needed help with.  You know, those questions you use to have when selling a property and had to have an answer right now to see if you could put your perspective buyer in a specific home?  Sure you do.  So, do you think this reputable person you use to call upon at a moments notice will ever return as we knew him, or her a few months, years back? 

I fear those days are not coming back any time soon.  The reason is our Government is stepping in and trying it's best to stop the last three administrations desire to see every American have a chance at the dream of their life, owning their own home. 

Years ago bills were passed to allow lenders to loosen the requirements to qualify a borrower for a mortgage loan.  As we now know, this type of lending is not what the administrations had in mind.  But the Mortgage Lenders, and Builders of new cookie cutter homes who placed "their own good ole boys" at a desk within the subdivisions to lend to any person who walked in the door with no money down.  Hey that is no problem, we will give them a zero down loan, the home is worth it and later it will gain in equity at an almost magical rate of increased value.  That new homeowner can refi the loan and be in great shape and even drop that PMI off the loan. 

It didn't work.  It is impossible to turn back the clock, and start over.  Now we are having astronomical amount of foreclosures in almost every subdivision in every town.  I am not telling you anything you already don't know.  You as a Realtor have a tough job ahead of you to try and sell these homes, and still try and salvage the reputation within that subdivision, now filled with repo's.

There were good lenders out there.  There were good sound loans being made.  There were not government entities put in place to watch the lending practices of the Banks, and Mortgage Companies making the loans.  All in all, what has happened to us these past few years now brings us to a realization that this can never happen again. 

The problem we now have is even greater than before.  Jobs are being lost.  Income is dropping, and the cost of living is out of this world.  But, now is the time to buy.  If only the Banks would lend the money, and if the buyer has enough confidence in the company they work for, it can be done.  And it will be done the right way this time.  The perspective buyer by now knows to ask for a fixed rate mortgage.  And the rates are the best they have ever been, right now.

So back to my original question.  The answer is simple.  Yes, you will see a reputable lender again in you town, and yes he will be there to help you with any question at any time.  It is just going to take a little more time, but he will be back.  By the way, I am one of those who will be back, and I will be more than happy to work those many hours, just like the Realtor does.  It will happen.  God bless, and have a great 2009.  Things are going to get better.