Fed’s Are Considering Becoming Landlords
Written on January 6, 2012 by FHA 203K for Realtors
The government is considering helping the nation’s vacant, unsold stock of foreclosed properties by supporting initiatives to occupy. We in the real estate industry shouldn’t go along with this. I for one don’t want to see a nation of renters. Property Inventors are buying up homes at record numbers and although I believe they are an import part of our industry, we in the profession could do better by promoting programs like the FHA 203K and FNMA HomePath programs by educating Home Buyers how they can also benefit when purchasing bank owned properties.
On average Distressed Homes are selling at 20% discounts with further discounts for renovation cost. Renovation loan programs allow Home Buyer to include the cost or repairs in their mortgage, whereby everyone benefits; the Home Buyer from built in equity, Realtors and loan officer, like the general public benefit by keeping America a community of Homeowner and that’s alway been good for us and always will be!
Federal Reserve Chairman Ben Bernanke believes that one aspect should be a government supported program that allows renters to move into these houses.
In a letter Wednesday to ranking members on the House Committee of Financial Services, Reps. Spencer Bachus, R-Ala., and Barney Frank, D-Mass., Bernanke said that inefficiencies in the foreclosure and mortgage origination processes are dragging on the economic recovery. This is a true statement and needs to be changed. If we as professionals included in our marketing Renovation Lending when considering what homes to show, the nations housing industry would recover faster whereby creating a win win solution everyone.
According to the white paper, Atlanta holds the largest amount of government-sponsored enterprises REO (5,000). Second place tieholders: Chicago, Detroit, Phoenix, L.A., are all below 3,000, by way of comparison.
In a scenario of declining house prices such as this, homeownership should be promoted, according to the white paper. Indeed, they argue that in many cases REO-to-rentals may be inappropriate. Unless Realtors and mortgage origination make a grass root effort and lenders loosen up on their tighter underwriting standards, borrowers may have little choice but to rent.
Do your part and help Rebuild the Dream by contacting an FHA 203K or FNMA HomePath Expert at First Guaranty Mortgage Corporation.
If you’re a home shopper be sure to ask any one of the Realtors on our fb Home Buyer’s Educational about purchasing a Bank Owned Property and learn how to leverage your purchase, while creating immediate equity with renovation lending tools offered by FHA and FNMA.
Free WordPress Blogs for Realtors
You can find me Saturday mornings from 10 to 12 CST
on Facebook if you need assistance building your own WP Blogs
It’s recommended you have a WordPress account set up and although not required PowerPoint and programs like PhotoShop can be useful tools when creating a Real Estate Marketing Blog. That said, WP has some exceptional Themes if you don’t have these programs that will give you the style you’re looking for.
Check out our Distressed Home Marketing Tools for Realtors.
Great Reading for Home Buyers to.
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SHORT SALES & FHA 203K OR FNMA HOMESTYLE
FHA 203K ~ A DISTRESSED HOME MARKETING TOOL FOR REALTORS
FANNIE MAE HOMESTYLE ~ A DISTRESSED HOME MARKETING TOOL FOR REALTORS
