Monday, May 17, 2010

Cancelled Like A bad Sit-Com

People (Imagine that I just gave you a high 5)!

Cancelled escrows are running a muck. Eleven already for me this year (At least that's the ones I remember). Last year was my all time record (At the time) at ten, and that was for all of '09. At this rate I'll hit 25. What is happening?

There are several evil factors at work. I will share.

Appraisals blow! This new HVCC (Home Valuation Code of Conduct) thing that NY Attorney General Andrew Cuomo gave birth to has really screwed things up.

Homes are having a much harder time appraising due to the new rules that state that brokers can not pick their own appraiser anymore, the lenders do. The lenders go to big appraisal companies (Some owned by the lender, see B of A). A pretty good idea, in theory. The problem is that these companies are sending appraisers out to jobs out of their area of competence. If you live in Riverside, you might not know that neighborhoods change drastically South of El Cajon Blvd as opposed to North of El Cajon Blvd. Huge.

Loans are tricky & delicate. The banks want more financial documentation and they want to be updated all of the way through the escrow. This always wanting updates slows things down. This slowing things down pisses off the seller and sometimes the buyer gets kicked out of escrow. I've had to do some serious butt kissing, threatening & crying to keep my people in escrow.

Bad advice. People now a days are getting way too much info/ advice from the media (Remember, they don't really report the news. They report the olds. They get their info from interviewing Realtors), from stupid Realtors (Not all) and from their friends/ family. The media & Uncle Joe's advice are usually the worst. Again, the media is not up to date. By the time they report it it's already dead. And, Uncle Joe rents and has not had a steady job in 15 years. Why would you listen to him?

There will always be cancellations, and most of time they are for good reasons. Do not be afraid to cancel. If you REALLY don't want to go through with the purchase, you shouldn't. Just don't listen to Uncle Joe, he's stupid.

Let me know if I can help with anything, 619-507-7449.

God Bless.