might (2)

Many REO Realtors who were closing a record number of deals in 2012 may not be able to close that same number of deals, or anything close to it in 2013. This really shouldn't come as a surprise to anyone considering, we have been noticing on dramatic pull back in REO now....for about 6 months or so, This all cumulated for many of us when Fannie Mae decided to fire all of thier outsourcers...or at least, the vast majority of them. None the less, this has many speculators out there talking up the "Rise and Fall of REO" and yes....make no mistake, it is definitely in declined however, let's not forget one, simple, truth. Home sales are directly correlated to jobs. No jobs = REO.

Now, it's true, short sales are playing a much larger role in the default real estate industry...in fact, as the article outlines, they seem to be up....much more than REO. In fact, from what I am hearing in the industry, many of these lenders and participants in "community stabilization" programs are seeing that short sales do a much better job at maintaining home values than REO ever could and as such, are holding back from foreclosing and giving bank directed short salesa much stronger look.

I have heard, the word on the street is, Fannie Mae and HUD are very likely going to be coming out with their own "Pre-Approved Short Sale" .... which isn't anything new however, it will have one dramatic change and that is, it will be bank directed. What that means is, instead of waiting on a homeowner, desperately trying to save their home, holding onto it from either desperation or flat out resolve, banks will hire their REO agent to go out, make contact, discuss options and give the REO agent a "Pre-approved Short Sale".

If you want to read the article, "The Rise and Fall of REO" I referenced it below however, make no mistake people, REO isn't going to fall....untill unemployment falls. These two are one in the same and as long as we stay over 7% unemployment, REO will, at the very least, level out but, it will stay strong.

By the way, for all you agent out there who are just hating the idea of doing a short sale, won't do a short sale or simply think its too much work for the money.....you might want to be changing that attitude because, as Corelogic reports, short sales had a banner year in 2012 and no one expects anything less in 2013.

To learn more about short sales, maybe even attende the industry's only Short Sale Symposium, you need to attend the Short Sale Specialist Symposium at Sea.

Link to: The Rise and Fall of REO

Link to: Short Sale Symposium

 

 

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In a article published by The Arizona Republic on July 27, 2012 @ 4:30 pm written by Catherine Reagor it's alleging that Fannie Mae is purchasing their own REOs through a LLC that Fannie created. To read the article yourself, follow this link, http://www.azcentral.com/business/realestate/articles/20120727mystery-buyer-snaps-up-foreclosure-homes.html

 

I reached out to the REOPro community to verify this article and it's accuracy and I recevied some interesting information. From a confidential informant, I got a copy of the Arizona Corporation Commission vi State of Arizona Public Acess System...see below...

File Number: R-1776305-1

Check Corporate Status

Corp. Name: SFR 2012-1 U.S. WEST LLC

Domestic Address

2338 W ROYAL PALM RD STE J

PHOENIX, AZ 85021

Foreign Address

2711 CENTERVILLE RD #400

WILMINGTON, DE 19808

Statutory Agent Information

Agent Name:


CORPORATION SERVICE COMPANY

Agent Mailing/Physical Address:

2338 W ROYAL PALM RD STE J

PHOENIX, AZ 85021

Agent Status:

APPOINTED 07/18/2012

Agent Last Updated:

07/23/2012

Additional Corporate Information

Corporation Type:

FOREIGN L.L.C. Business Type:

Incorporation Date:

07/18/2012 Corporate Life Period:

Domicile:

DELAWARE County: MARICOPA

Approval Date:

07/23/2012 Original Publish Date:

Manager/Member Information

FANNIE MAE

MEMBER

3900 WISCONSIN AVE NW

MAIL STOP 11H-734

WASHINGTON,DC 20016

Date of Taking Office:

07/18/2012

Last Updated:

07/23/2012

DELAWARE County: MARICOPA

Approval Date:

07/23/2012 Original Publish Date:

Manager/Member Information

FANNIE MAE

MEMBER

 

Of course, we all will have our own opinoins on if this is a good or bad idea but, I got an even more intersesting article sent to me that said, "

The address that Fannie Mae used in "creating" this LLC is in the same building as East West Bank, a subsidiary of East West Bancorp, which is a Chinese-owned bank. Yes, this is the same East West Bank that received $306.5 Million in TARP money. So, not only were buyers in our market robbed of the opportunity to purchase 275 homes, but it appears that they were sold to a Chinese Bank. Thus, the reason they are trying to hide it from the American people."

Now, once again, I can't verify any of this but, if anyone can independently verify this information I would greatly apreciative.

 

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