Tomacor Pulse: Housing Market Held Down by Worried First Time Buyers

Tomacor Pulse
Housing Market Held Down by Worried First Time Buyers by Derek Kravitz

http://www.huffingtonpost.com/2011/11/30/housing-market-remains-stuck-first-time-buyers_n_1120891.html

Having read Mr. Kravitz’s column, I think he misses the mark. Accountability is needed in the housing market. The housing market isn’t down due to the mortgage qualification standards or our bad credit rating or even student loans. It’s down because the whole process has stopped representing the buyer and shifted to “the deal at any cost.” The question is do you want to buy a house now that could literally blow up on you (A problem that happened yesterday in the city of Chicago) or fall apart. Add to this buyer’s concerns about mortgage failure, hanky pankey and their attorney who happen to be the seller’s brother. For your average, relatively sophisticated buyer, there is no place to step without the potential for the “booby prize.” This could cost him/her $50,000 in mold abatement or structural repairs. Now-a-days, even the inspectors are lined up behind the agents selling their loyalty for a referral. Can you blame buyers?

We must restore the market and guarantee that buyer’s representatives serve the buyers. They need attorneys who advocate, appraisers that are fair, mortgage brokers who work for clients best interests and inspectors who include budget figures and environmental hazards as part of their routine service.

The inspectors hold the key to their restoration Without a good inspection, everything can implode and cost your son or daughter a life’s savings.

“Condition not location.”

–Tom Corbett

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