Over the last few years, the real estate market has seen some serious up and downs. People lost homes, investors made great deals and the rental market really heated up. But more recently, things are starting to look up. Locally, inventory is tight with list to sale price hovering above 95%. Nationally, new home sales are up...they "rose in September to the highest level in more than two years." (U.S. Census Bureau). But what about those homeowners that are fighting each month to pay their mortgage? These are those people that know that their house has lost market value due to the economic collapse, but are still making payments - on time each and every month. Although these people may have had a hardship - unemployment, decrease in salary, death in the family - they are still making their mortgage payment. On time each and every month. Starting November 1, there may be some hope for these homeowners. Under the current rules, eventhough they will now allow a nondelinquent borrower eligibility for a short sale, their credit may still take a negative hit. Following the below link will bring you to more information - but should'nt the "powers that be" come to a realistic solution to FICO score analysis to allow these homeowners some relief?
http://www.inman.com/news/2012/10/23/damage-credit-scores-could-trip-new-fannie-freddie-short-sale-program
What do you think?
Erik Hart
REALTOR®, BPI Analyst
Severna Park Sales
Long and Foster Realtors
410-544-4000 Office
443-889-6860 Cell
www.erikhart.lnf.com
www.topofthemarket.blogspot.com
