I was having lunch with one of my Realtor referral partners the other day. He was telling me that over 50% of his sales today involve short sales. We started talking about the folks that are selling these homes.
Can you imagine the huge number of people that now have to rent? Can you imagine the number of potential future home buyers? In most cases, they will need to wait 3 years before they will be able to obtain a new mortgage. There are exceptions to this rule.
We could turn the value of real estate around much quicker if some of these regulation were loosened for folks that have gone through a short sale.
This article talks about fraud involved in short sales: