SD Realtor,
I do not understand why it is such a stretch. The banks are working on loan modifications based on this bailout….part of the package is to reduce the principle amount.
The program’s goal is to reduce monthly payments – including taxes and association fees – to 38% of homeowners’ gross income via a combination of:
Lower mortgage rates.
Reduced principal amount.
Extended term (or duration) of loans
Some combination of the above.
So you pay 535k for a property try to sell for 598k 1 month later and if some sucker does not buy your property uncle sam will. I guess that is what I mean.
