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Fannie Mae to rent out homes instead foreclosing

By dont_getit   Follow   Thu, 5 Nov 2009, 12:11pm   991 views   7 comments
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I am simply amazed to see that they are pulling up so many tricks to suspend the inevitable. I dont know how the hell this is going to work? How would they fix rent for the property, whatever the homeowner says, this is just a crazy idea.

http://news.yahoo.com/s/ap/20091105/ap_on_bi_ge/us_foreclosures_rentals

WASHINGTON – Thousands of borrowers on the verge of foreclosure will soon have the option of renting their homes from Fannie Mae, under a policy announced Thursday.

The government-controlled company, through its new "Deed for Lease" program, will allow borrowers to transfer ownership to Fannie Mae and sign a one-year lease, with month-to-month extensions after that.

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1. fredMG Follow Befriend 1 threads 47 comments

   1   12:18pm Thu 5 Nov 2009   Share   Quote   Permalink   Like   Dislike   That is hilarious. The second the ownership transfers and the lease starts a lot of these former owners will send letters to their new landlord with a long list of complaints about their house that the landlord is now legally required to fix.

2. AltonS Follow Befriend 55 comments Portland, OR

   2   12:21pm Thu 5 Nov 2009   Share   Quote   Permalink   Like   Dislike   So the gov will then totally control the housing market, owning what, a clear majority of residential real estate? Fun. Why I can't wait to fill out an application to rent from Fanny. You think its bad trying to get back a security deposit now... lol.

3. dont_getit Follow Befriend 8 threads 186 comments Sunnyvale, CA

   3   12:26pm Thu 5 Nov 2009   Share   Quote   Permalink   Like   Dislike   AltonS says Fun. Why I can’t wait to fill out an application to rent from Fanny. You think its bad trying to get back a security deposit now… lol. I would've been glad, but you needed to be the previous owner to rent it back. Now, I feel stupid everyday for not buying the house yet, with such cheap tactics the govt is playing with responsible people.

4. HeadSet Follow Befriend 4 threads 1,477 comments Hampton, VA

   4   1:23pm Thu 5 Nov 2009   Share   Quote   Permalink   Like   Dislike   Fannie Mae has hired an outside company, which officials declined to identify, to manage the properties. RED FLAG NUMBER ONE -"refused to identify" To qualify, homeowners have to live in the home as their primary residence and prove that they can afford the market rent, which would be determined by the management company. RED FLAG NUMBER TWO - "market rent will be determined by the management company."

5. dont_getit Follow Befriend 8 threads 186 comments Sunnyvale, CA

   5   1:47pm Thu 5 Nov 2009   Share   Quote   Permalink   Like   Dislike   HeadSet says Fannie Mae has hired an outside company, which officials declined to identify, to manage the properties. RED FLAG NUMBER ONE -”refused to identify” Isnt FNM runs on our money? WTH they cant identify? So much for change.

6. pkennedy Follow Befriend (8) 28 threads 1,342 comments Redwood City, CA

   6   9:54am Fri 6 Nov 2009   Share   Quote   Permalink   Like   Dislike   That is the end goal isn't it? To try and reduce inventory while the rest of the economy picks up. To wait for people to calm down a bit and get used to deprecation. These houses would end up in foreclosure and probably hurt a city by not being kept up. They would potentially sit empty, causing problems in parts of the country where whole areas are emptying out. I'm glad they're at least trying new strategies and refining their process.

7. Done! Follow Befriend (4) 159 threads 2,826 comments

   7   10:11am Fri 6 Nov 2009   Share   Quote   Permalink   Like   Dislike   Change Wooo Hoooo! Change!!!! Yes we can, yes we can be fascist nation of whining crybabies that want the governments tit shoved so far down our throats, any and all growth is kaput. And our GDP is measured by how many people are on the Dole.