Rustico – Yes. I know you get comps from market sales. My point was probably what you’re saying about transparency. The sales comps, IMO, will not be accurate b/c if the bank is reducing the principle on a house that 2 years ago sold for 700k and now the modified loan is for 500k, the 700k is hardly a true and accurate comp.
If I go buy the identical house as the one getting modified to 500k, I should not really be paying 700k for it b/c that was the last sale on the block, especially in light of a loan mod.
Maybe I’m not making myself clear and I’m sorry for the confusion. I just think loan mods are going to really throw a wrench in sales comps. I think going by sales comps to determine the value of a house is not going to be as accurate and that one would need to take into account any loan mods.
