• Welcome to AppraisersForum.com, the premier online  community for the discussion of real estate appraisal. Register a free account to be able to post and unlock additional forums and features.

Should Banks Be Responsible When Homeowners Flee?

Status
Not open for further replies.

moh malekpour

Thread Starter
Elite Member
Joined
May 25, 2002
Professional Status
Certified Residential Appraiser
State
California

DesertDiva

Sophomore Member
Joined
Aug 10, 2007
Professional Status
Real Estate Agent or Broker
State
California
It's becoming a big deal in my market as well with so many pools not being maintained & the resulting health/safety hazards.
 

Randolph Kinney

Elite Member
Joined
Apr 7, 2005
Professional Status
Retired Appraiser
State
North Carolina
I wonder if the cost of litigation would be worth it to pursue individuals that just stopped paying their mortgage and moved away?

If this is done on a massive scale, lenders are going to have to make a choice of letting the property go for taxes or hire and staff a legal department that will rival the largest AMC. Maybe that will be the way, set up LMC (litigation management company) and contract out to "independent" fee lawyers.

And then on the other side, all those homeowners need a BMC (bankruptcy management company) to oppose the LMC. :rof:
 

moh malekpour

Thread Starter
Elite Member
Joined
May 25, 2002
Professional Status
Certified Residential Appraiser
State
California
It seems that neither lenders nor homeowners want those properties anymore. They are abandoning those properties. I wonder where are those speculators and investors to take possession on those properties for free?
 

DesertDiva

Sophomore Member
Joined
Aug 10, 2007
Professional Status
Real Estate Agent or Broker
State
California
It's a simple fix. Once the it becomes REO the lender can contract with propoerty preservation co's to handle basic maintenance. More & more of these 3d party co's are springing up to take some of the property mgt functions off of the listing brokers.

Maintaining property is part of the price of owning it.
 

Greg Bell

Senior Member
Joined
Jul 7, 2006
Professional Status
Gvmt Agency, FNMA, HUD, VA etc.
State
Louisiana
Responsible for what?.The lender is the injured party with every right to sue for deficiency in purchase money mortgage states.(Not so in trust deed states , it's tough toenails).Lenders are responsible for the property after transfer.This includes maintenance and taxes.
 

Terrel L. Shields

Elite Member
Gold Supporting Member
Joined
May 2, 2002
Professional Status
Certified General Appraiser
State
Arkansas
The cities themselves have a lot of responsibility for this mess. They eyed developers as cash cows to expand their tax base and the politico's power base. They eagarly invested huge sums of public money to get services to these suburban homes and annexed huge chunks of land. The maps of Rogers, Bentonville, Springdale, and Fayetteville, Arkansas look like giant octupus's whose legs snake along every highway surrounding them sometimes encircling other towns like Lowell, Centerton, Cave Springs, Elm Springs, etc. It's stupid. The Mayor and his buddies on the Planning Commission ought to be given a bushhog and chainsaw and made to mow and clean up every one of these "dead" subdivisons. Without their approval and without making the builders fork up a Bond that INSURES the subdivision be completed in a timely manner, these properties would never have been begun.
 
Last edited:

murray stroupe

Senior Member
Joined
Apr 27, 2005
Professional Status
General Public
State
Tennessee
Re; Keep it simple or Bushhawg[bushog] it

It's a simple fix. Once the it becomes REO the lender can contract with propoerty preservation co's to handle basic maintenance. More & more of these 3d party co's are springing up to take some of the property mgt functions off of the listing brokers.

Maintaining property is part of the price of owning it.
====================
Excellant poins,DesertD.

Even in a tough market like Detroil;
auction co did sell a bunch, bargain hunter /bottom fisher prices. Cool

Not to worry ,when some big banks lose enough money they can change.
 
Status
Not open for further replies.
Find a Real Estate Appraiser - Enter Zip Code

Copyright © 2000-, AppraisersForum.com, All Rights Reserved
AppraisersForum.com is proudly hosted by the folks at
AppraiserSites.com
Top

AdBlock Detected

We get it, advertisements are annoying!

Sure, ad-blocking software does a great job at blocking ads, but it also blocks useful features of our website. For the best site experience please disable your AdBlocker.

I've Disabled AdBlock
No Thanks