Las Vegas like most other major cities in the US is dealing with a lot of economic pressures and forces beyond our control. Forget political persuasion – we are all in this economy together.
The Federal Government has the ability to step in and help consumer/homeowners here in Las Vegas and around the country by thinking about how it can provide relief for the average homeowner and not just focus on big business!
Housing Inventory Driving the Economy
We think it’s critical for the Federal Government to step in and help out consumers who have and are facing foreclosures. Why? Our overall economic crisis will not be fixed until we fix the housing market, as it has the ability to negatively impact the economy for some time to come.
How do we inject some confidence and stability into the housing market? Very simple! Reduce our inventories, by developing creative financial solutions for homeowners’ facing foreclosure across America.
Bank of America’s Blueprint Spells Relief
Bank of America acquired the assets and liabilities of Countrywide – Bank of America has settled a large number of lawsuits with multiple states, including Nevada. They have agreed to help consumer/homeowners stay in their homes by paying $8.6 Billion to resolve approximately 400K mortgages claims.
BofA is lowering interest rates, waiving penalties and reducing mortgages – this injects confidence into the market and helps to stem the tide of foreclosures. We think this is great and applaud BofA’s flexibility and realization that over the long haul this is a good move for homeowners across the US.
Federal Government Needs to Course Correct
We believe the Federal Government needs to look at Bank of America’s model and come up with a plan to minimize the number of Bank Owned Homes that will hit the entire US market. If the government does not step in and help our beleaguered markets it could take much more time for our overall economy to recover.
We are hitting levels of affordability here in the Las Vegas Real Estate market which is driving tangible numbers of sales – the market is off of of life support! We can accelerate this!
What’s the Big Picture?
To underscore the big picture – the positive trends we are seeing here in our local market and in others around the US will accelerate greatly if we reduce foreclosure pressure on our markets.
The Federal Government needs to step into the breech and put together a stimulus package that is similar to what Bank of America is offering; or, some hybrid rescue plan that involves private and federal funds.
