If you haven’t been living in a cave these last few weeks, you already know that Bank of America, GMAC and several other national lenders halted foreclosures in most of the country. Apparently, some of the attorneys who are one of the select few that have prospered considerably in our most recent economic down turn were filing illegal documents, falsifying signatures and using ‘robo signers’. Being a real estate professional and having to deal with some of these companies during real estate closings – let’s just say I’m not surprised. If you can’t get someone to pickup the phone or respond to an email after 48 hours, they might have too much work on their hands and start cutting some corners.
While some of the foreclosure processes are resuming, it will certainly be quite some time before the inventory of foreclosed homes are put on the market and sold. Many economists and real estate experts are predicting that this will cause buyers who are considering a purchase right now to jump back onto that fence and wait it out until foreclosures resume despite interest rates being lower than they’ve ever been and great opportunities still being present in the market. That may very well be the case and there will certainly be impact BUT there is a flip side to the coin….the real estate seller.
How about a small window of opportunity for those sellers to take advantage of a market with less foreclosures to compete against? Sally and Joe Seller now have a much better saturation rate to look at when all of the foreclosures are pulled off the market and less of them are hitting. Foreclosures generally cause lower appraisals and certainly attract attention from home buyers so why not get your home on the market to take advantage of a short term period of an ‘unfair advantage’. It won’t last long so if you’re thinking of selling your home in the future, pickup your phone and call a realtor now.
Yes, the season is not generally the greatest time to sell (in Florida we don’t have the drop off other parts of the country to) AND that is another reason to think of putting your home on the market right now. Not only are there fewer foreclosures to compete with but there will be a lot of sellers who won’t want to deal with the inconvenience of a home on the market during the holidays. Hint Hint – less supply with the same demand = putting the home seller in the driver seat.
Now on to my conspiracy theory thoughts. Talking to our real estate coach this week – Bob Corcoran from Corcoran Coaching and Consulting – he brought up an idea that made a lot of sense to me about the recent foreclosure moratorium. The last few years when the holidays rolled around, the banks and the government thought it would be so gracious of them to let homeowners stay in their homes through the holidays so foreclosures were suspended. Don’t you find it a little ironic that this robo signing scandal and suspension of foreclosures happened just weeks before the holiday season is upon us? I mean honestly do you believe that they had no knowledge of these robo signing scandals and loop holes until just a few weeks ago? Please.
Andrew Duncan is one of the top real estate agents in the State of Florida and President/CEO of the #1 Keller Williams Real Estate Team in Tampa Bay – The Duncan Duo & Associates. He can be reached at [email protected] or by visiting his Tampa Real Estate Blog.
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