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Wow!! We own 248,000 foreclosed Homes!

By
Services for Real Estate Pros with Azren Foreclosure Help

 

Wow!! We own 248,000 foreclosed Homes!By "WE" I mean the U.S. taxpayers!!!!!

This is the number of homes listed for sale by Fannie Mae, Freddie Mac, and the Federal Housing Administration. All resulting from the record numbers of people defaulting on government-backed mortgages.

 

The “robo-signing” scandal that slowed new disclosures, will in the coming months, very likely increase the number of government-owned properties. According to RealtyTrac, one out of every five of the 3.65 million homes for sale at the end of July was a foreclosure.

 

With 248,000 foreclosed homes already owned and so many more moving toward default, Fannie Mae (FNMA), Freddie Mac (FMCC), and the Federal Housing Administration are looking for ways to unload them without swamping the already depressed real estate market. Trouble is, they haven’t figured out how to do that. So they’re asking you and me for ideas about how to solve the problem.

 

If you want to tell them your idea, you have until Sept. 15 to submit it to reo.rfi@fhfa.gov. The government’s call for ideas is a sign it is deluged with repossessions.Wow!! We own 248,000 foreclosed Homes!

 

While shielding the market from a flood of government homes might be good for property values and the economy, it’s not such a great deal for taxpayers. Who bears the costs when government-guaranteed loans go bad and who pays for maintenance on vacant homes the feds take over? You and I of course!

 

You can help keep homeowners in their homes by referring them to the following website. They offer a solution that will keep the house out of foreclosure and therefore out of adding to the numbers above. Foreclosure prevention.

 

Ronald DiLalla
Century 21 Discovery DRE 01813824 - Anaheim, CA
No. Orange Cty Real Estate

As Realtors, let's do everything possible to assist homeowners to check out all  alternatives to letting their homes go to foreclosure.

Sep 04, 2011 07:46 PM
Phil Leng
Retired - Kirkland, WA
Phil Leng - Retired
Hi Aziz, Good post. The government GSEs have been dumping their properties on the market pretty consistently in our area. Most of the properties I am tasked to go to were foreclosed on Friday and I am there the very next Tuesday. My opinion is - don't hold back. Put them all through and lets get it over with! Phil
Sep 04, 2011 10:51 PM
Lisa Von Domek
Lisa Von Domek Team - Dallas, TX
....Experience Isn't Expensive.... It's Priceless!

Hello Aziz,

They need to be processed quickly and out of the "big banks" inept hands so that the market can correct itself...unfortunately, having Washington in charge....need I say more?

Sep 04, 2011 11:08 PM
Wallace S. Gibson, CPM
Gibson Management Group, Ltd. - Charlottesville, VA
LandlordWhisperer

Originally, there was a discussion to RENT these homes to the DEFAULTING homeowners for a year and reorganize their debt.  This is MUCH more PREFERABLE to the government converting them to GOVERNMENT OWNED RENTAL HOMES!

Sep 04, 2011 11:12 PM
Aziz Sattar
Azren Foreclosure Help - Pasadena, CA

Thanks for your comments. I shiver at the thought of "Government owned Rental Homes". Just last year I worked with some contractors to make sure they met certain energy efficiency requirements on remodeling of Las Vegas city owned homes and I must say, the amount of money wasted by the city on these homes was disturbingly gross.

The program entailed the city buying these foreclosed homes from banks for around $50k, investing $60-$70K on extensive remodeling and then renting it to section 8 renters who proceeded to destroy the homes within 6 months, or selling it to low income qualifiers for around $80k.  Either way they equated to a loss of around $30-$40k per property!!

Bailouts created government owned banks and here we have government owned homes....Much more can be said about this but I will refrain for now.

Sep 05, 2011 10:14 AM