Essay on Four Step Plan for Solving the Foreclosure Crisis

Essay on Four Step Plan for Solving the Foreclosure Crisis

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The foreclosure crisis is not something that just happened overnight, this is an opportunity that has been in the making even before people began using banks to buy real-estate. Many homeowners bought into a house that was much more than they could afford. Many bought houses that were overpriced therefore paying too much for something that just wasn’t a good deal. Builders were building $40,000 homes and selling them for 150,000 homes were being built with poor insulation, cheap building materials. When purchasing a house to live in, they might have been led to believe that this was the deal of a lifetime. Many homebuyers, at the time of closing will get very excited at the fact that they a making a major purchase, an investment that they will have to live in for many years to come. Not being fully aware of things such as closing cost, finance charges, amortization, fixed or adjustable rate mortgages… they signed the bottom line which means that they are locked in to a contract that they really don’t understand. Some real estate salespeople will not really be looking out for the buyer’s best interests, but instead be looking to capitalize on a quick, hefty commission of 3% to 6% of the purchase price. First of all, many first-time home buyers should simply be taught the basics of a real estate deal before being allowed to sign a buyer’s agreement. This should be a requirement. They should be given a test of at least 25 questions to see how much the buyer really knows and understands about real estate and the agreements that they are about to sign. Buying a house can be a stressful time for the first time homebuyer, yet it can be a wonderful and exciting time if this is your first time buying a home. Many homes that are...


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...realistic. Sell the property at a reasonable price and let’s get things rolling again, there is no reason for a home that needs roof repair, fence mending, and paint, not to mention other things that you will find upon an inspection, to be on the market for $74,000 that price is ridiculous… let it go at $35,000 let someone else repair it and enjoy a small profit or a nice home. Banks need to stop being greedy, if you can afford to sit on a property for more than 2 years, you have too much money already. Every day that a property is empty, you lose money. Make it affordable to buy a home again. Let the average person buy a home for their family, things will change. The opportunity to buy a home at an affordable price is here now, by way of foreclosures. Take advantage of this market. Buy a foreclosure at a reasonable price and solve the foreclosure crisis.

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