There has been some talk about a likely new wave of foreclosure activity coming in 2013 as a result of another settlement between some of the major lenders and Feds. During the recent review process of individual foreclosures that took place between 2009 and 2010 these mega-bank lenders held off on many would be foreclosure proceedings. Similar to what we saw with the previous Robo-signing settlement, knowing the Federal supervision will likely lighten up now that the settlement is in place, the lenders will probably feel free to continue with foreclosure proceedings creating another mini-wave of foreclosure activity.
According to “The Bryan Ellis Investing Letter”, RISMedia analyst David Lereah predicts this miniature foreclosure wave could last for 12 months. However, a new trend in lender preference for short sales over foreclosures could minimize damage to the overall housing market. Short sales are more favorable to home prices in general than foreclosures, so more short sale transactions are preferable to the lenders rather than another surge in foreclosures.
If you or someone you know is facing foreclosure and would like to explore the possibility of avoiding foreclosure via a short sale of your property contact me for a free one hour consultation. I have over 8 years experience as a short sale specialist realtor. My team and I would be glad to help you too.