Saturday, January 7, 2012

The Fed kicks around some ideas to boost growth in the housing market...some good, some not so good, a must read!


OK, I do think they should broaden terms of refinance.  There is a provision that passed for 125% refinances but lenders have not yet figured out to implement.  One idea that I think will absolutely kill the market and banks is to have banks become property managers and rent out the foreclosed homes.  Banks are only in the business of lending money to make money, that is their business plan period.  If they take on a different segment of the housing business, that is like McDonalds now offering spaghetti on their menu (they actually tried it in some markets and needless to say it bombed).  



This is a Washington issue for us to keep watching as some of these bad ideas could have seriously negative consequences.  What are you concerned about?






http://bit.ly/vZE9cK

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