Real Estate News

I just want to propose an alternative method of solving the housing crisis.

Now to provide a disclaimer that I am not an economist, nor did I get straight A’s in school, (but I did pretty good); however, I think that my common sense has always offered me some good decisions in my life. I was watching a webinar earlier today that offered an idea that is worth expanding a discussion on.

If you are like me, you are getting fed up with the Nightly News, but there are a few assumptions that we constantly hear that I want to explore:

· We are told that banks don’t lend money and are hoarding cash

· We are told that a lot of folks are hoarding cash

· Short sales are increasing

· More investors are using cash to purchase

· The Federal Government just loves to sign blank checks

Okay, so you see where I am going. More Investors need to buy more Investment property!! Easier said than done. Right?

Here is how to do it. Let’s have the Federal Government (alias: Uncle Sugar) give Tax Breaks to Investors to buy some of these short sales and REO’s. Homes would get sold, and homes would be refurbished, thereby improving neighborhoods. The Federal Government could spend less on useless programs. Banks could start to loan money again. Happy days are here again!

Every home SOLD in Oklahoma puts about $60,000 into the economy. Then after a few years the Investor sells the property and another $60,000 goes into the market. This process might even produce some jobs.

Will the government save the Housing Crisis, or will the Investors?

Let me know what you think.