AH! This explains a few things to me. I was in the market a couple of years ago for a house. Found one I absolutely loved, had been on the market for 15 months, was foreclosed and the original mortgage holder skipped down. They listed it at $150K, so I low-balled at $120K. They wouldn’t budge... even $5K. The rationale was that they wanted to make all of the money back.
Fast forward to today and these banks are sitting on foreclosed properties with the HOPE that they can sell them at a profit. Meanwhile folks like me are out looking for homes where the owners are still in control but trying to sell.
RE: They wouldn’t budge... even $5K. The rationale was that they wanted to make all of the money back.
Looks liek they are not that desperate enough to sell yet. Time is on your side if you have the cash, you’re not desperate to buy (or are you?)
ahh but the banks will not approve the short sale and the seller can’t sell because the bank will not waive the deficiency.
They are forcing people into bankruptcy where the deficiency does not matter and second mortgages can be stripped off.
Homes, especially older ones, don’t do well sitting vacant for long periods of time. There’s an old farm house that was repo’d down the street and has been sitting empty for almost 2 years now. Without the heat or air on and no circulation it is just rotting from the inside out, depreciating faster and faster as time goes by.
They wait too long it will come back to bite them.
Due to losing our jobs, a year ago, we called Chase right away and they told us not to pay and they would do a loan modification. They never got back to us but I kept calling them, and sent us a foreclosure notice. Then I called and they changed that and said we did not have to pay for three months, followed by a trial period making $50 payments for three months, followed by another three month trial of $150 per month payments, and finally three more payments of $350 per month which we paid.
Then, in August, they transferred our mortgage to a company called IBM out of California. We did the paperwork, etc. and we have never heard from them.
I finally wrote to them and said we were unable to make the September payment and still nothing.
Our balance is $155k but the house would probably only sell for about 98k.
I am sure they are really behind these days with regard to foreclosures and kicking people out. I have heard of a few people who have been in their homes over a year and the house has not been sold.