Experts agree that the inventory levels have to come down fot the housing market to start recovering. Short sales offer a win-win solution for buyers, sellers, lenders and agents, to speed up this recovery by selling inventory faster than by going the foreclosure/REO route.
While short sales have been on the rise, I believe that lenders are not really prepared (and willing?) to approve these transactions in a timely manner. Extensive delays of six weeks to six months are not uncommon, and banks may reject an offer 20% below appraisal, only to sell after foreclosing on the property for a higher discount.
I believe that the Obama recovery plan was well intentioned, but lacks accountabilit...Read Full Post →