I watched the CNN "Open House" segment today. www.cnn.com/openhouse This should give you the link to the program. It was the first time I took the time to watch the entire half hour show. They talked about the sub-prime market....and an analyst put the blame on the lenders. The poor borrower that over stated his income must have been coerced into over stating.
Jesse Jackson said the lenders were using steering and red lining tactics....clearly he didn't have a clue but wants someone to be responsible....anybody other than the borrowers. He gave some lop sided statistics that I have yet to verify. I have Googled them in several places and no luck. He gave the ratio of White, Hispanic and Black foreclosure numbers and from there jumped into the steering and redlining. His definition of steering was steering Blacks to a certain type of loan with higher costs than the other borrower segments. That could be true or not be true. We do know their is 2.2 million foreclosures in the US. The numbers he quoted and what I found do not match...but he could have a special source.
Then came the best yet. Another minimally versed Canadian (Montreal?) real estate broker. She did a terrible justification for what she charges and why. She does have a radio show....that makes her and expert! What was amazing she was being asked questions concerning the US market....and does not even live in this country or carry a US real estate license in any state. Now that alone made me feel like she should be able analyze with confidence the US housing market. She did emphasize that people should use a professional and not venture off on their own. Then she jumped to buyer representation...Gerri Willis.....quizzed her on the representation point and again....Gerri backed off when she was given drivel. Nancy if that is who the moderator was...recognized she had an unskilled and miss informed broker from another country in front of her. She was very kind to this broker. She could have picked her apart. Any 1st year agent could have done that!
Anyone can talk, spout national statistics and hit one for the fences....hoping they get a home run. In this market you better have more than hope on your side. You also better know the market you are buying and selling in.....and the national media is not the place to learn.
What I did learn was that people that put their trust in the media for buying and selling information should be very careful. Buyers and sellers should verify the information they deem to be correct, not take these media programs that spin information for viewer count as correct or even close to what may resemble their home market.
It is sad to think our media has stooped to this level just to gain viewers. I have never been a TV critic but I may start a column and point out the wrongs that are being pushed on the public just to gain viewers.
Luckily, I have not had any of my clients believe or use this type of information. I should state that at least Mr. Jackson is stepping up and trying to garner attention to the state of the real estate market. That is more than I can say for most politicians that want yours and my vote.
Have any of you used or heard of clients armed with media information.....only to have to take time to correct the misconceptions?