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Sad Story for Sub Prime Financing

By
Real Estate Agent with Coldwell Banker Premier Properties 0225048938

Just 14 short days away from closing, an ugly message came from the selling agent.  "Due to the recent changes to sub prime financing, the program my clients were approved for has been pulled.  Therefore we regretfully have to get a release of contract..."

We had negotiated home inspection items, gotten thru the appraisal, got the title work cleared and this happens.  This is certainly devastating to sellers, and definitely an eye opener to buyers.  No longer can they just assume with marginal credit and no money down that they can buy the American Dream. 

That brings back some real basic Education.  Buyers will certainly have to work harder to qualify for financing and just maybe the 'nothing vested, nothing lost' concept will go away.  With the rampant forclosure rate, heavy inventory, and limited buyers....Let's hope this Financing 'correction' will be the last issue to get 'in check' and put us back in the Normal Market groove.

For Agents~~ We need to do that Buyer Consultation, from the beginning!

For Buyers~~ The American Dream is attainable, just clear the stepping stones!

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