Recent news on the foreclosures – a few major lenders have recently announced that they are halting foreclosing! Bank of America just stated they are stopping foreclosures in all 50 states. Other major lenders are halting foreclosures in 23 states.
The KCM Crew recently wrote an article entitled The New Foreclosure Mess: What It Means To You. They believe the “process of foreclosing may grind to a screeching halt.” The article states that you will be affected if:
1. You are a homeowner in the foreclosure process (banks are backing away from normal foreclosure process).
2. You are currently selling a house (bank-owned properties sell on average for 35% less than non-foreclosure sales).
3. You are currently buying a foreclosure (the portion of inventory that is bank owned is frozen because lenders want to verify who owns the property before moving forward with sale).
The article goes on to discuss how long this challenge will last and the overall impact on the market. Click on the link to read more about the foreclosure situation in America.