Bothersome trend by banks

[Philippe G. Heller]

A new trend is emerging. Many banks are asking for confirmation letters that repairs have been performed. We are getting a lot of calls from agents that they need us to go back to a house and confirm repairs have been made, and write a letter.

My feeling is that this is a liability and a huge waste of time. Is anyone else noticing this trend? And if so, are you just charging for this service or refusing to write these letters?

[Joe Funderburk, CMI]

Originally Posted by pheller

My feeling is that this is a liability and a huge waste of time. Is anyone else noticing this trend? And if so, are you just charging for this service or refusing to write these letters?

Sounds like a guaranteed income stream to me. Be grateful. I've never had a bank require a re-inspection.

All my re-inspections are documented in a stand-alone report. That could be submitted to the bank. I would refuse to write "a letter".

My "usual" reinspect fee is 1/2 of the inspection price, $150 minimum. On a POS, the fee could be as much as the original inspection. It all depends.

[Philippe G. Heller]

Agreed. We've decided to as for $150 - $200 to do this. But wording must be well chosen to avoid being responsible for some contractor's ****ty work.

[wsiegel]

I have done many of these. Good extra income. All I am doing is verifying that the work has been done. There must be a receipt from a licensed contractor (if required). If there is no receipt (especially for electrical, plumbing, and roof) it is so stated in the report. The inspections are not a guarantee of that work, just confirmation that work was done.

[Nick Gromicko]

The banks should have been doing this all along. They only haven't been (until now) because hardly anyone ever let their home go back to the bank.

[Brian K. Smith]

Now if we can just get these banks to sell some homes! Why are they holding onto them..prices are not going up like they think...that is from what I can see around here? They dont have to flood the market but come on .....lets roll...lol..

[Michael Larson]

Originally Posted by bsmith2

Now if we can just get these banks to sell some homes! Why are they holding onto them..prices are not going up like they think...that is from what I can see around here? They dont have to flood the market but come on .....lets roll...lol..

Because as long as they hold them on their corrupt books at the full value of the remaining mortgage instead of real market value they look to be solvent instead of bankrupt.

They don't want you to know what their bank is actually worth.

[Brian K. Smith]

Originally Posted by mlarson

Because as long as they hold them on their corrupt books at the full value of the remaining mortgage instead of real market value they look to be solvent instead of bankrupt.

They don't want you to know what their bank is actually worth.

And then they get bail outs.... OUR $$$$ thanks to our great pres....

[Michael Larson]

The only thing keeping some of these bank "afloat" is the government letting them lie.

[Brian E. Kelly]

Originally Posted by wsiegel

I have done many of these. Good extra income. All I am doing is verifying that the work has been done. There must be a receipt from a licensed contractor (if required). If there is no receipt (especially for electrical, plumbing, and roof) it is so stated in the report. The inspections are not a guarantee of that work, just confirmation that work was done.

Good info.

Thanks William

[Jeff Merritt]

Sounds like FHA loan, has to be in habitable condition, repairs must be made before the loan is funded.

[gfitzgerald]

Easy $$$$

[Nick Gromicko]

There is no good reason for a bank to foreclose. It's better to keep an under-performing loan until the house triples in price, which it will eventually do, in part, because of the Euro.

You see, the Euro collapsing has strengthened the U.S. dollar, which in turn permits Obama to print more dollars, which in turn will cause the coming hyperinflation to hit harder, which in turn will cause these homes to inflate in price again, which will permit the homeowner to refinance.

This is Bernanke's master plan in a nutshell.

[Bruce M. Graham]

Dear Mr. Banker
At the reinspection of 123 street It appears that the repairs noted in the original report have been made but there is no way in he-- that I can document that they were done correctly or guarantee them. If you need any further information I would recommend getting a letter from the individual trades that did the work.
Thank you for the extra inspection have a nice day.

[Michael Larson]

Originally Posted by gromicko

There is no good reason for a bank to foreclose. It's better to keep an under-performing loan until the house triples in price, which it will eventually do, in part, because of the Euro.

You see, the Euro collapsing has strengthened the U.S. dollar, which in turn permits Obama to print more dollars, which in turn will cause the coming hyperinflation to hit harder, which in turn will cause these homes to inflate in price again, which will permit the homeowner to refinance.

This is Bernanke's master plan in a nutshell.

Sorry Nick.
Not even close,

The gov is not "printing" money.(yet)

The gov is borrowing money which has to be paid back.

We will be lucky to avoid defaulting on the debt as the cost of servicing it consumes ever more of the GDP.