Posted by Kari on July 3, 2012 17:28
The Federal Housing Finance Agency announced earlier this year that it planned to launch a pilot program to sell real estate-owned properties in bulk to investors. The agency now says that after much deliberation, the winning bidders have been selected.
While the names of the individuals and companies picked to buy up the estimated 2,500 properties across the country have yet to be released, representatives of the FHFA said they went through a stringent vetting process and are very qualified.
"FHFA undertook this initiative to help stabilize communities and home values in areas hard-hit by the foreclosure crisis," said the agency's acting director Edward DeMarco.
The FHFA, which oversees mortgage activity at Fannie Mae and Freddie Mac, believes the initiative could help clear out the dense foreclosure inventories currently being held by the government-sponsored enterprises. Property data shows that the amount of individual units in this supply number in the hundreds of thousands.
Since this pilot program has proven to be a success, the initiative could soon be more widespread, and may even include short sale properties in the near future.
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