Are Lenders trying to control the market by dictating which Short Sales get approved and which don’t? May they believe that they can be a better gauge of fair market value by dealing directly with the Buyers and dictating to the REO agent what their price point will be?
I hope not, but if they do believe that then it spells a difficult time for agents across the country. This is a way for big business to manipulate the market and try to control inventory, prices and sales. I mean they are trying to get a program passed in which they would be able to lease these properties to the homeowners they helped foreclose, thereby controlling when that property goes back onto the market as a sale. They will be doing this while having the Foreclosed homeowner subsidize their wait.
The program does nothing to help stave off the mounting Foreclosures, quite the contrary it will accelerate them. They can stall and drag on Short Sales that don’t meet their criteria so they could hold onto that property until they deem the right time to sell. Whether this works or not, I don’t know…but it something we should all be leery of because it can directly impact our industry. The Lenders will have much, much more control that we ever thought.
Realtors are a snobby bunch, most of us can agree, thinking the world of real estate can’t function without them, undoubtedly a great marketing campaign by NAR to convince everyone of that.But please don't miss what is happening. Lenders are smarter than we give them credit for even though we may not understand their tactics. Our not understanding what they do does not make them dumb, it makes us short sighted.
Have you ever noticed that when you must struggle to hear something,
you close your eyes?
And if our eyes are closed...we cannot see what is in front of us.