Buyers' Revenge: Trash the House After Foreclosure

[moh malekpour]

http://biz.yahoo.com/wallstreet/080327/sb120665586676569881_id.html?.v=1

The most practical way to ensure the houses are returned in decent shape, lenders and their agents say, is to pay homeowners hundreds or even thousands of dollars to put their anger in escrow and leave quietly. A ransom? A bribe? "Yeah, somewhat," says John Carver, an agent specializing in foreclosed homes for Prudential Americana Group in Las Vegas. But "you lose a house, and then you get some financial help -- it's a good thing...It's a win-win for both parties."

No one tracks how frequently such payoffs are made. In Las Vegas, agents hired by the banks to handle foreclosed properties say the "cash for keys" approach, as it's known in the industry, is a regular part of the job. After all, formal eviction proceedings can take months and cost potentially much more than a payoff

 

[Mike Kennedy]

No problem; the next appraisal will be a drive-by.

 

[Non Sequitur]

No problem; the next appraisal will be a drive-by.

Not on an REO.

This is nothing new. I've been in REOs where the borrowers did everything but peel the paint of the walls and suck the color out of the carpets. It's the nature of the beast.

 

[Mike Kennedy]

The REO volume to date....is but the tip of the iceberg. sheer volume will force "economies of scale" i.e. same methology which decimated the credibility of the "valuation industry" will be utilized once again. First.......lowering of standards for fee panel, second lowering of VC standards, next ...AMC utilization...........hey after all - that worked fine for Subprimes and GSEs.......didnt it? The writing is on the wall.......

 

[JT1974]

I never understood the mentality of people who would trash their house when they got foreclosed on. After all, the homeowner agreed to the mortgage and for whatever reason, they didn't make the payments. It's not like the banks enjoy taking property back.

It's sad to think that so many people are so full of hate these days that a cash for keys program is even needed.

 

[William K]

Hmmmmm this sounds like a sound business practice that a presidential candidate could get behind.

2 million expected foreclosures this year, pay each owner $1,000 and you just created a stimulus package of $2 billion.:new_multi:

Now if we could just get someone to back letting them stay there in the homes for say 90 days with no payments

 

[DTB]

I never understood the mentality of people who would trash their house when they got foreclosed on. After all, the homeowner agreed to the mortgage and for whatever reason, they didn't make the payments. It's not like the banks enjoy taking property back.

It's sad to think that so many people are so full of hate these days that a cash for keys program is even needed.

Not much to understand Jason. These deadbeats, intentional or otherwise, are at the end of the road after a string of bad coices/unfortunate incidents and become unstable.

I've given up on the understanding part and just accept it as SOP and deal with it from there on out.

Cash for keys is also part of a sound rental eviction policy.

Everyone loves to be loved!:Emoticon_hug:

 

[Greg Bell]

I did an REO where they rolled up the linoleum floors.Now how they did that while holding their pet monkey and drinking a brewskie , I'll never know.Quick , buy some Beans and Ammo...

 

[Craig81]

I never understood the mentality of people who would trash their house when they got foreclosed on. After all, the homeowner agreed to the mortgage and for whatever reason, they didn't make the payments. It's not like the banks enjoy taking property back.

It's sad to think that so many people are so full of hate these days that a cash for keys program is even needed.

Logic and common sense rarely apply to human beings, unfortunately.


We had an REO order a month ago that was a drive-by, because the folks were still in the house. Last one that I did personally had feces smeared all over the walls.

 

[Charles Witt]

A fellow in our town had a yard sale and took took out the kitchen and bath cabinets/vanities and commodes and mirrors to sell in the yard sale. What he did not sell was just left in th eyard when he left that weekend with the $$$$$$.
Boy, talk about sewer gas........................

Had another one that lived in the house about two weeks after the water was turned off and continued to use the bathrooms. Ugh..............about made me sick! The REO pictures were dispicable...........

Some are very crude!