Short Sale Plan Coming, and The Weekend Poll
The federal government may try to nudge lenders to approve more short sales soon. But will the feds really be able to convince lenders to clear the path for more of these deals? Here's an interesting snippet from the online chat about foreclosure prevention held Thursday by the Post's Renae Merle and Michael S. Barr, the Treasury Department's assistant secretary for financial institutions:
From James in Manassas: Mr. Barr, I'm a purchaser of a short sale property here in Virginia. I have waited 122 days for a response from SunTrust bank to accept my offer to purchase a home for the appraised price. I do not need any government subsidies or incentives to make this purchase.
SunTrust Bank has received 4.9 billion dollars of TARP money and yet the system is backlogged. Making loans available will do little if they can not be processed, similar to the way a car that gets 100 mpg has little value if the highway is blocked.
Can the Treasury make demands of TARP-funded banks to create a more streamlined banking operation, so that mortgages may be processed faster for the large number of short sale properties?
Michael Barr: We agree that there are real problems in the short sale market and will be announcing Treasury guidelines and incentives soon to help address these barriers.
WEEKEND READING: Are you feeling lucky? The Post's Ylan Q. Mui writes in the Saturday Real Estate section about lucky numbers and talismans that some people rely on to help sell their homes. And Dan Rafter introduces you to some would-be sellers who've decided this market is not for them.
Chat Today! The Real Estate Live chat kicks off at 1 p.m. today. If lunch plans keep you away then, you can always submit a comment early.
The Weekend Poll
This is a non-scientific user poll. Results are not statistically valid and cannot be assumed to reflect the views of Washington Post users as a group or the general population.
August 7, 2009; 6:00 AM ET
Categories: Buying , Foreclosure , Loan modifications , Poll , Selling , The market , Weekend Poll
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