The Collected Works of Author and Blogger Larry Roberts

Archive for May, 2013

A pocket listing is a property kept off the MLS for exclusive showing to select buyers. Most often pocket listings are used by agents who want to double-end the deal and make double the commission. In that scenario, the agent is ignoring the inherent conflict of interest in dual agency to make more money. Typically, this arrangement favors the buyer over the seller. The buyer participates to get a good deal, the agent participates to get a double commission and a quick sale, and the seller... well, he gets screwed. Secret 'Pocket Listings' Return in Hot Housing Markets By CNNMoney | Posted May 2nd 2013 12:30PM The housing rebound has given new life to an old, but little-known sales practice…[READ MORE]

After 30 years of falling interest rates, Americans have become addicted to cheap credit and personal Ponzi schemes. People have learned they can take on large debts, consolidate them at lower and lower interest rates, and service that debt with a portion of their income. It's a bit like learning to live with a lamprey slowly sucking your financial juices. Often it's not enough to kill, so it's a parasite people learn to live with. Oftentimes when people get in trouble with debt, they stop using it. As Jesus would say, "sin no more." Through falling interest rates, loan consolidations, and other methods of "working with borrowers," lenders have learned out not to kill their hosts. Lenders have intentionally fostered…[READ MORE]

At this point we can be certain that banks are going to avoid or delay foreclosure or short sale until prices rise so they don't have to lose money on the sale. They have no choice. With banks still exposed to $1 trillion in unsecured mortgage debt, they simply can't take the losses that are coming. No matter what else happens in the market, unless the banks are forced to change their policies by the government regulators or the federal reserve (a very unlikely event), lenders will continue to kick the can with loan modifications and suspend homes in cloud inventory for as long as it takes. Since problems in the market cannot be resolved by lowering price, the inevitable…[READ MORE]

Page 6 of 6123456