9 Comments

1. 

   MB Mike on June 19, 2012 at 9:02 am

   School teacher? How do these people sleep at night?

2. 

   Not Rocket Science on June 19, 2012 at 10:35 am

   I think we will finally see a healthly increase in short sales/REO. The banks avoided selling for a long time to avoid having to take the hit on their capital ratios (i.e. carrying the properties with higher valuations than the market would have given). Then, once the press-invented foreclosure “crisis” hit, the banks turned off the spigot to work things out with the regulators. The regulators were probably never very worried about the foreclosure process because they were aware the banks were avoided foreclosures, not rushing to process as many as possible. Now that is behind us and the banks’ balance sheets are better able to absorb losses (which are going to be lower anyway given the improvement in market conditions). I would expect lending standards to start to loosen up again soon as well, though hopeful not back to the liar loan days in our lifetime.

3. 

   Rich C on June 19, 2012 at 11:51 am

   @ MB Mike ‘s

   “School teacher? How do these people sleep at night?”

   I think they slept on those comfy
   “Sleep By Number Bed” as advertised.The more night they sleep there, the better their financial number get…saving money for Hawaiian luau.

4. 

   shadash on June 19, 2012 at 12:00 pm

   Hey stormin,

   Does this qualify as a Deadbeat?

5. 

   MB Mike on June 19, 2012 at 12:19 pm

   I would pay for a photo of these folks.

6. 

   stormin on June 20, 2012 at 10:45 am

   Shadash – You should know – you’re the “deadbeat” expert.

7. 

   shadash on June 20, 2012 at 1:08 pm

   stormin, lets point out the facts…

   – Purchased 3/06 for 780K
   – 100% financed (meaning buyer put nothing down)
   – An estimated 5 years of non payment or roughly 120k in free rent
   – Would not leave the residence until court papers were provided.
   – Excepted $4760 in Cash for Keys *

   * Was offered $7000 but the “homeowner” turned down the intial $7000 because of a Hawiian vacation conflict.

   For the record this is the blueprint for a deadbeat.

8. 

   stormin on June 20, 2012 at 2:16 pm

   shadash – I have no problem in your labelling this person as a deadbeat – for whatever good that does. I do have a problem with painting everybody in this situation with the same broad brush. Altho you appear to be a bright person, you have no knowledge of the circumstances surrounding thousands of people – except the ones sensationalized by the media. I have been in real estate since 1984 and deal with these people on a daily basis. Many are hard working, honest people looking for survival. Are there people who have been foolish and have taken advantage of the situation? Of course. Are there people who used their homes as ATM machines? Of course.

   But there are also folks like the 71 year old woman who I spoke to yesterday. She has gone thru all of her retirement money to make her mortgage payments and remain current – while the bank has asked for more money while they work on a loan mod which she has little or no chance of receiving. She has returned to work and was in tears because she has no place to go if she loses her home. Is she a deadbeat?? Not in my opinion.
   Deadbeat is also defined as “an undesireable person” or “one who evades their responsibilities”. The real deadbeats to me are the fat cats like Mozilo, Paulson, Wall Street, the banks and the greedy individuals who have milked an unsuspecting and naive public of years of savings that have been lost – probably forever. They walk around free and are now buying up the very properties which they are primarily responsible for forcing into default. Oh yeah, you should probably put Congress into the deadbeat category also.

   I think you make valuable comments to this site but your deadbeat remarks make me gag.

9. 

   J.M. on June 21, 2012 at 11:00 am

   I tried to buy an REO in Point Loma that was trashed by the previous owner who was obviously angry about being foreclosed on and tore it apart. It needs ALOT of repair work. The Bank which owned it turned down my cash offer, and accepted someone else’s. However a couple months later the property still showing as “contingent”.

   I don’t get it….this property was so trashed it wasn’t something that could be financed; it needed to be sold for cash. So why would it take months to close?