In a previous post, I made light of a few questions that may not be as valuable as one would think. Here are some better ones for those who know how to use them. So on a more serious level of analysis, here are:
3 questions to the Listing Agent that will generate valuable [...]
Roger Tutterow Ph.D. and Dean of Economics at Mercer University gave his opinion to Sally’s Roundtable on the Recession of 08’ as it relates to Real Estate in my home state. This is Post #3 from the exchange.
Credit Markets
As far back as July 2007, Wall Street began to question the true value of Mortgage Backed Securities. Interesting how it really became a household word in recent months. Either way, banks are continuing to search for ways to loan money to the masses. The original bailout for Fannie Mae and Freddie Mac was probably the smartest move that Washington could have made. In essence, it allows lenders the ability to continue to bundle loans together and sell them to a company that is backed by the full faith and credit of the US government.
Banks, mortgage brokers, etc are in the business to originate loans. Most do not have a true mechanism to keep them in house and actually hold for 30 years. Therefore, without the ability to bundle and sell, loans would not be written.
Good News!
We are at or past the bottom of the Real Estate curve in GA. Home prices have stabilized and inventories are no longer increasing. With the ability to actually borrow money at still all time low rates, the expectation is that the best deals will sell first which would include Pristine foreclosures, New deeply discounted homes from builders, and resales where the owner can take a loss to get a better deal on a more expensive home.
In 6 months or so, those of us with little to no equity will see a more stabilized and active market. Today, there is no place to go but up and do not let the Evening talking Heads tell you differently. Our problems are nothing like so many others.
Even though it is raining outside (and we need it in North Georgia), it is a great day. Bloomberg is reporting that September homesales increased both month over month and year over year for the second month in a row. This is important as the numbers show that foreclosures and REOs are continuing [...]
Facing foreclosure is not only a financial crisis for Atlanta homeowners, it is can also be an emotional crisis. So this is a time to take stock and examine your options with your Atlanta home.
