The combination of a deep recession and a foundering housing market has left the government with more than 50,000 houses on the market, reports Brad Heath in USA TODAY. That's enough houses to fill the entire city of Miami! Heath quotes an adviser to the Housing Secretary, who makes the understatement of the week - "Obviously, this is not the best time to be a home seller."
The government's situation parallels what thousands of homeowners are confronting: their houses are more difficult to sell, they sit vacant longer and their values have cratered as the real estate market collapsed. Since 2007, HUD has acquired at least 110,000 and has spent $12.2 billion to reimburse lenders after owner defaulted on government-backed loans. So far, HUD has recovered $5.5 billion. It has about 38,000 homes still for sale. This is a fraction of all homes seized by lenders - about 1.2 million nationwide in 2007 and 2008, according to RealtyTrac.
Now the first thing that comes to my Realtor mind is how unfortunate it is that it is so difficultto get a home through the short sale process, to AVOID foreclosures! I understand that lenders are inundated with high numbers of pre-foreclosures. But there HAS to be a better way than the current exasperating process of ready, willing and able buyers waiting FOR MONTHS for a response to their offer. Better for the Lender, the Seller and the Buyer. Many times MOST of the time the prospective buyers give up and move on to a non-distressed seller. Sometimes for lack of patience, but usually because they just don't have the luxury of waiting, and waiting, and waiting, and waiting, and waiting....
Government Holds the Deed
38,000 Housing and Urban Development
8,734 Veterans Affairs
1,004 Agriculture
3,200 Federal Deposit Insurance Corp
50,938 Total
Janna Rankin Scharf provides a superior level of real estate services to home buyers and sellers in Coeur d'Alene and Kootenai County, Idaho. Visit www.JannaScharf.com to search for homes in the Coeur d'Alene MLS for anywhere in spectacular North Idaho.
No matter how grand or modest your real estate dreams may be, you can turn to me in confidence. Give me a call today and let me know what I can do to be of service to you!
Janna Rankin Scharf, AB, GRI, CSP, CNS, CLHMS 208.651.9700 NorthIdahoJanna@gmail.com
Janna Rankin Scharf provides a superior level of real estate services to home buyers and sellers in Coeur d'Alene and Kootenai County, Idaho. Visit www.JannaScharf.com to search for homes in the Coeur d'Alene MLS for anywhere in spectacular North Idaho.
No matter how grand or modest your real estate dreams may be, you can turn to me in confidence. Give me a call today and let me know what I can do to be of service to you!
Janna Rankin Scharf AB, GRI, CSP, CNS, CLHMS 208.651.9700
Janna, think of the tens of thousands banks would save if their process were more efficient. Every day they hold the house is interest plus attorney's fees, plus late fees, not including paying the short sale staff. A banker friend told me he estimated it cost a bank $30-50 for most houses daily to carry a house. Thanks for sharing these stats.
Sharon
You're right, Janna but I don't see banks changing the way they do don't do business. You know, if they would suspend all of the fees they charge people in situational financial difficulties, that would certainly help. Banks seem to enjoy kicking anyone when they're down. Greedy buggers.