Quote:
Originally Posted by preciousjeni
I'm all turned around now because I thought that's what the article was referring to.
I know people don't live their lives the way I do. My problem is that these people are effectively squatting which affects the bank which in turn affects rates/eligibility for everyone else.
Anyway, with foreclosures continuing to be a veritable epidemic, why are banks being stupid? Wouldn't it be better to rent the home back to the former owners for a then-fair market rate with the understanding that the house could be sold out from under them at any point?
|
That's logical, the outright RAGE at the beginning of this thread was not.
If they cannot pay, they cannot pay, and squatting or not they're going to affect the banks their rates the same way. With the fed keeping Prime low, it's going to make rates pretty good for the near future. As far as eligibility it was the bust that affected that and probably for the better since prior to that it was being handled haphazardly.
Banks don't have the resources to be landlords, they avoid it like the plague.