Enough is Enough, Part 2 (aka See I Told You So)
Sometimes, I hate being right.
In a previous post, I argued against the current trend of mortgage loan audits/mortgage rescission lawsuits and government-backed loan modifications, stating that these actions would only prolong the current housing crisis.
It sounds like I was right, as we now have a “shadow” inventory of homes which could hit the market at any time and in quantities no one knows; click here to read more about the problem.
Oh, and the folks trying to make money by doing loan modifications? The California Bar is now investigating several attorneys for misconduct. Read more here.
What does this mean? It means that, very likely, the “bottom” we’ve seen in the housing market is a false, temporary one. Once this shadow inventory hits the market, the foreclosure numbers are headed back up.
I really hate being right.