Long Beach California Real Estate Loans

Long Beach, CA.  Recently, Housingwire.com, a web based real estate site covered the big story that Fannie Mae announced earlier this month that they would allow renters to stay in their homes after the foreclosure process has been consummated.  

Potentially homeless and hapless ex-homeowners would have a few options including: 

"Cash for Keys," wherein they would receive a lump sum of money to leave the house in tact, broom swept, and trashed out.  Normally, banks pay between $2000.00-$4000.00 to get people out of the property.  This helps the banks market properties because they can easily be shown when they are vacant.

Sign a more standardized month to month lease.  This would be for an amount that is commanded in the market price.  For example, if a three bedroom, two bath home is renting in the neighborhood for $1200.00/m then that would be approximately how much the past home owners would have to pay.  This helps the bank in that the property would not be left vacant which exposed the property to vandalism. 

Already major Property Management firms are beginning to maneuver and lobby to asset manage and take over the large inventories of foreclosed home that Fannie Mae and Freddie Mac are taking back.

Paul Hayman, President of First Service Corp., a large public company, headquartered in Toronto, Canada,  is offering its services to take over the foreclosure inventory and offer a "Lease to Own" programs.  Furthermore, they will analyze these properties and give recommendations as to the final marketing and  disposition of these properties. 

Of course, there will be much lobbying as far as who gets what contract.  Because the United States of America is now basically the majority owner of all the banks put together, it may actually receive revenues from these rentals which may ease government spending.  Hey, why don't we use some of the economic stimulus money to develop this whole program!  With the way foreclosures are multiplying, Obama can probably create three million jobs just to take care of all of these foreclosed properties!!!

Kirk Mulhearn, a mortgage planner and real estate broker, can be contacted at:

562-989-4608 ext 110