Z Cherry Blog

Luxury home foreclosures

September 23rd, 2009

The luxury real estate market is facing a problem – tot much inventory, too may agents and not enough liquidity. All of which adds up to a glut of luxury homes for sale, many of which are being seized by lending institutions and banks. The amount of foreclosures in the prime loans sector is now beginning to outweigh the sub-prime sector, as most of these are already in the system. Something like one in four US mortgages is more than 60 days in arrears and the banks are in no hurry to implement any mortgage relief programs unless forced to. This seems unlikely and Bank of America managed to offer just 4% of their underwater loan customers any sort of relief despite receiving trillions in Federal aid. 

Entry Filed under: Business