I remember reading something about lenders/banks don’t want to price the REO’s to aggressively because that would affect the comps. This would hurt the people needing to refi. It would also perpetuate a decline in prices. They are trying to keep this thing afloat anyway they can. At some point banks are going to have to lower pricing to move inventory.
SDR,
I agree I would like to see more must sell inventory in nicer areas. I do think that at one point pricing in less desirable areas will affect the higher end market.
