NAR Sends Letter to 6 Regulators on REO Disposition
April 2, 2012
On March 28, 2012, NAR President Moe Veissi sent a letter to the Federal Reserve Board, Federal Deposit Insurance Corp., Department of Housing and Urban Development, Federal Housing Finance Agency, Department of the Treasury, and Office of the Comptroller of the Currency, urging policymakers and lenders to focus on expanding the availability of financing for qualified home buyers and investors to increase the REO absorption rate. NAR recommends that the bulk sale of REO assets should be limited to small geographic areas where alternatives are needed and should rely on the expertise of local businesses, nonprofit organizations, and local government for implementation. President Veissi also recommended that regulators take a cautious approach when evaluating the benefits of “mortgage-to-lease” programs versus other foreclosure prevention efforts that focus on keeping families in their homes as homeowners, including the Treasury Department’s HAMP and HARP programs.