A ‘glacial’ pace in foreclosure sales

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Good morning. Must reading this morning: David Streitfeld’s LATimes piece about the ‘glacial’ pace of the foreclosure process. In short, banks are pricing foreclosed homes by formula, are pricing them too high, and they are piling up on the market.

And yes, as realtor Leo Nordine told us a while back, some lenders have outsourced decision-making about foreclosed houses to India. Scary stuff.

And disappointing, too, to bargain-minded buyers who believe -- wrongly for now -- that foreclosed houses should be priced to sell. ‘’Buyers are only interested in the lender-owned houses because that’s where they think the bargains are,’ Sylvia Tudor, a Victorville agent who sells foreclosed properties, told Streitfeld. Then they see the prices, she said, and back off.

Thoughts? Comments?
Photo Credit: LATimes