Foreclosed home sales might be put on hold?

Home Inspector with Trace Inspections, LLC TN #17

With all of the woes in home sales all we need now is for a hold to be placed on REO or foreclosed home sales... Say it isn't so!  Well apparently it is on the horizon in many states and if could be a federal mandate!

Some in Congress have called for a moratorium on all foreclosures until the documentation issue is resolved, though senior Administration officials Monday again declined to endorse that idea. Servicers that have lied to courts by filing incorrect paperwork "need to suffer the consequences for their irresponsible actions," said Shaun Donovan, the Secretary of the U.S. Department of Housing and Urban Development. But "where we have not found problems with particular servicers...we do have some risk of going too far."

This type of action will hurt anyone who is in a related profession that is dependent on home sales. Why in the world would the government  want to disrupt the sales process of  thousands of homes across the country because of paperwork errors. 

It is pretty simple that if a person does not pay the mortgage they don't get to keep the house!

Comments (3)

Mario Gattavara
Coldwell Banker Lifestyle Properties - Oroville, CA
(Lake Oroville Area)

This might be a good thing.

Causing a small buyers market and increased prices.

Of course this would only be for a year or so until the foreclosure hold is lifted.

Who know, only time...

Good luck & success to you Scott!

Oct 12, 2010 06:11 AM
Carl Winters
Canyon Lake, TX

Pretty much of a mess. Folks don't have jobs so they are not paying taxes or buying homes. Now the foreclosure mess. What next?

Oct 12, 2010 10:59 AM
Reuben Saltzman
Structure Tech Home Inspections - Minneapolis, MN
Delivering the Unbiased Truth.

Well put, Scott. Who pays for those people to keep living in their houses?  Everyone.

Oct 17, 2010 02:51 PM