Will California Senate Bill Really Help The Condition of Many REO Properties

Hi Jean, The lenders already could have done this. They all live in houses I would presume and they can't think past there own nose on this. What they should have done is make provisions for all property to be maintained to some minimum condition from the start. Realtors and real estate licensees should also know better. Most of them do live in houses but it does make wonder one sometimes .

On my listings, occupied or otherwise, I take care to do very level best to make it as appealing as possible. No one pays me but I do it anyway because of my own level of professional pride. My listings ALL reflect me and I care for them as I would my own home. Has this left us as a quality we all mostly possessed in this industry. If you look at some of the REO's, you would think the REALTORS lived on an island with no phone to even ask someone to look out that things are cared for. I would hope that legislation should not have been necessary anyway. Where is the pride and responsibility to market the property, knowing that the Best price in the shortest time frame ( Fiduciary) is the responsibility of the listing agent. When they take a listing from a bank, they have to arrange for utilities and lawn and yard care should be a part it. Why should they ever have been hired in the first place if they can't manage and honor their own Fiduciary. Get these people out of the way, I could show the lenders how to sell them and at terms that wouldn't hurt the neighborhoods that these others hurt with their mostly arrogant attitudes. I rant, sorry.

Hi Lenn, Happy Sunday! Here we are again. The one in my neighborhood, drives me a Little nuts every time I see it. I know the company, regretfully. I never thought much of them as professionals in the first place. I do suppose they also may live this way so it is no great shock? Like , "What's the matter with the place"? I was tempted to blog on the property and then thought better of it knowing that... well, you know as well as I, why I wouldn't. I am ranting again.

On your other point, we have all seen how some agents are, get just the listing and figure out the details later. A good professional that would and should know their business and and understand their fiduciary, would get this arranged for in the first place.

It is a shame people feel they need legislation for this, even that  issues like this even come up. But the abuse is real life and I must live in a fantasy world, thinking that if I represented banks ( they probably wouldn't like me much as I would burden them with a lot more details than this) this would never be an issue. The neighborhoods would be trying to catch up with how well the place looks,lol But in the end, the home would sold properly at good price with the new Buyers feeling a sense of pride and the neighbors would very much like my attitude about this. It is tantamount to eating in a very dirty restaurant. The food may be good but always a little suspect?

 

Adam, that is wonderful to know. As I have come to learn more about Fullerton and Brea, I am impressed with these communities. They seem to have a great  sense of pride as a community and that is wonderful. Do you happen to know Lynda Eisenmann, she also works that market I believe. A very wonderful professional and someone you should know. An awesome lady!

Hi Jason, We think from the same page most often. Like I mentioned to Lenn, it shouldn't take legislation. The agents nor the banks just got into the home business and if you live in one, they should know what it takes to maintain one and do it. ( properly)Where is the professional pride on both their parts? There I go ranting again.

Hi Jeff, There should not ever be an REO in that condition. When a property is well cared for it gets a higher showing ratio and usually a higher offer sooner than the ones that are left to rot. Now doesn't it make you wonder why the agent is not doing their job-represnting a seller is more than taking the listing. It is the counseling and prpeapring the property for market. So the first error in my mind is with the agent. The 2nd part of this , is that it should not take legislation for a lender t be looking out for their own inventory. Most of them have share holders and they also owe them a fiduciary to care for their assets. I guess you can see that I would do better in a perfect world,lol. I used to have the patience of a saint and it wains sometmes when I am in most need of it. I guess I see this again as a professional responsibility of both of the parties involved.

 

Hi Lynda, Thanks for dropping over. Maybe this is a California thing. We seem blessed with many fly by night people ( almost used the word professionals) in our business and they seem for whatever reason to get the lenders to go with them. Now that must say something about priorities, right? Maybe the banks believe they are better negotiators? I was almost going to make that a part of the post. I wonder they they handle this?

Hi Lisa, Thank you for sharing that, I know that everyone will find that interesting as well. Hit and Miss, I would guess that would be even the best we could hope for. Seems life is allowing people to win even in spite of the fact that they don't want to be responsible for themselves. We must need better schools, better real life classes and teachers that aren't ham strung with what bureaucrats think kids should know. Like Real Estate, it should be local with a great emphasis that they also need to know about their community, state,  country and our magnificent history. With even emphasis on the latter. Not to mention Geography, Math, Reading and in particular, learning writing skills. At least to the level of teaching them how to communicate their thoughts. In real words. Thank You for coming by and enhancing this post.

Me either Christy. I would wonder when it passes the Assembly, if the Governor would sign it? Just not sure. This part of the bill may make a few nervous but the other provision was already negotiated so the banks pretty much have agreed on the notice. It only requires that they try to reach the homeowner 30 days before starting foreclosure. It might go like this. " Hello Mr and Mrs Jones. As you know you haven't being paying your mortgage debt and we have no choice here but to foreclose. Are you sure you do not have a rich aunt or someone that could help you get current? We also have a counseling program we could offer you if that would help you. It is a bit  like going to a Hospice. The outcome is certain but we would like to help you to cope with what is going to happen with you. We would rather not have do this but you give no choice, have a nice day". Notice given.

Hi Lane, I certainly appreciate you stopping by and adding in your insight on this. Good points you have made. They also lead to some questiona and you asked a very good one. We have too many laws already. What we need to somehow learn about responsibility and doing the right things ( in this case maintaining those homes and their respective value).

Carol, Isn't that the point. If you take the listing and don't get it right, it is a risk and regrettably that is why the banks should be a little more discerning in who they select to represent their interests and also that they should do a better job being a seller and taking the professional guidance that is brought forward for them. Both could win and that would be wonderful for all. But when they both lose, the neighborhood suffers, then everyone loses. I am for win-win scenarios and If I had to go all the way to the directors, I would make a pretty good case and you can gather as my passion is starting to show, that I would indeed be successful with it as well.  :-). Maybe that is what is missing, no passion on either side. Business as usual and not verty articulate at that.

Renee, That is great information to be added to this post. A fantastic report about Las Vegas but also insight as to how this might manifest itself. From recent court cases here, the HOA when it goes after someone with a fine, a lien or even filing suit to reclaim ownership, they have been successful case after case. They have excellent standing in the courts. I doubt banks would do as well if it comes down to the bully slugging it out with any association worth its existence. Great info. Now if we find solutions for all the ones that are not part of an association, we will be all set,:-)