Government Pushes Lenders for Short Sales

In 2009 the Treasury Department was pushing lenders towards loan modifications.  In 2010, the government has built a program that will entice homeowners and banks to short sell these homes.  Short sales have become a growing trend in 2010 and will continue to be well into 2011.

This government program is set to begin April 5,  focusing on short selling a large number of these default loans.  In a short sale the lender is allowing the homeowner to sell for less than what is owed on the mortgage.
This program is aiming to give owners incentive to sell their properties.  Generally speaking owners would want to short sale their homes to lessen the damage done by a foreclosure.  Although with this new program they are given cash incentives. There are nearly 5 million homeowners in the U.S. that are behind on their

Wells Fargo has hired more than 8,000 employees since the start of 2009 to deal with many of the default issues that homeowners are facing.  Even though it is premature to state whether or not this new program will work, it gives everyone a little hope.   All banks have already seen an increased interest in short sales over the past couple months. Only time will tell if this new government program will help solve the monumental problem we are facing.  Short sales seem to be the best answer at this point.

Housing Assist Coldwellbanker