Some Good News, For a Change
No, not that — home sales and prices are still tanking, big-time. Did you think otherwise? Come on, you know better than that!
The good news is this: Fed chairman Ben Bernanke on Tuesday basically told lenders to get off their butts and take responsibility for their mortgage loans. Specifically:
One of the suggestions Mr. Bernanke made was for mortgage and other financial companies to reduce the amount of the loan to provide relief to a struggling owner. “Principal reductions that restore some equity for the homeowner may be a relatively more effective means of avoiding delinquency and foreclosure,” Mr. Bernanke said.
Whether this happens or not isn’t the point. (If it does happen, it’s likely to infuriate responsible homeowners to see their irresponsible neighbors get a break on the amount they owe on their homes. I also think cutting principal won’t make any difference to homeowners who looked upon their home as a quick way to make money, rather than a “home.” And the U.S. ultimately will have assume SOME responsibility for the mortgage mess.) The point is, Bernanke’s remarks show that our government doesn’t intend to give lenders a free pass. Banks have been lobbying for a bailout, but Bernanke is saying, “You created this mess; you fix it.” Amen!
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Can you stand even more good news? As of yesterday, Redfin’s database includes all scheduled open houses. To find out what’s open in your target neighborhood, just zoom in on your area in the Redfin database. Open houses will show up as little icons with the word “Open” above it. Combine that with all the other cool features of the Redfin database, and you’ve got the one-stop real-estate shop that is Redfin.
Recent Redfin posts:
To Buy or Not to Buy
Trimming the Fat Pays Off in Hollywood
The Caroline DeForest House
