A New President, A New Housing Agenda

 

I read a phenomenal article today by Inman News and wanted to share a few points with you that I think will be instrumental in returning the housing market to a place of stability.  It is no secret that the newly elected president will inherit a bit of a mess as far as the economy and the real estate market go.  What that president does with that “mess” will set us up either for success or failure over the next few years as far as the economy goes.  We have a bit of a cat and mouse game going on where more and more homes are being placed on the market, in part due to rising foreclosures, yet less and less of the general public can qualify to purchase these homes due to the tightening of credit regulations.  Below is a list of the items that need to be at the top of the new president’s agenda to help get us up and out of the current economic state of affairs.

 

The private loan market needs to be encouraged yet regulated.

 

Trust needs to be rebuilt in Freddie Mac and Fannie Mae to encourage investors to return their support.

 

Find the balance between promoting FHA loans yet keeping a close eye on its guidelines.

 

The rental market should be looked at as many Americans are left with no other option.  The condition of properties and pricing in the rental market needs to be explored.

 

Federal housing programs need to be revisited to ensure they are offering maximum support to low income families and those walking the fine line of foreclosure.

 

Stricter regulations need to be placed on real estate agents in this turbulent market to ensure that they are doing their fiduciary duties to their clients.  Ethical agents won’t need to make any changes in their business while unethical ones will be forced to drop out which will be better for everyone.

 

More respect should be placed with RESPA which helps regulate fees and relationships in real estate transactions.

 

Leadership needs to be looked at.  Housing administration leaders need to be free of conflicts of interest and have the greater good’s interests in mind.  Leaders need to not only be focused on a short term fix but, more importantly, on long term consequences.

 

I would love to hear your input on these ideas and answer any questions you may have regarding recent lending practices and changes.