Kevin has been a part of over a 1,000 REO listing transitions since getting into real estate at the height of the mortgage melt down in 2008. The market is improving and the number of REO sales are decreasing significantly. Fannie Mae and Freddie Mac have already shrunk their REO departments and eliminated their outsourcers all together. That is shocking news from the GSEs and a huge change from where they were just a couple of years ago .
When asked, Kevin Bailey is telling other Realtors to forget about REO and focus on traditional business. Having firsthand experience selling a high volume of listing for Fannie Mae and other banks he says it is just not worth trying to get in the door with them anymore.
What does this mean for the average home owner? It means things are getting back to a "normal" market like the market we saw in the 90s. Homes will appreciate at a sustainable rate of 3-4%, just above inflation. The excess supply in most areas have dried up already and is quickly becoming a seller's market again.
What does this mean for the average real estate agent? Get back to the fundamentals and to start marketing to traditional sellers again. Anyone who has purchased a home since 2008 and before 2005 probably has equity in it and could be ready to move up - that is a lot of people.
It is easy to make and argument for both buyers and sellers that this is the best time to buy or sell a home in a VERY long time. Why? Rates are at an all time low still and housing has not fully bounced back yet in some areas. This combination makes this the single best time to buy a home probably in our lifetime. Also, homes have been and continue to bounce back up and if you purchased since 2008 or before 2005 you most likely have equity to buy and move up. The lack of REOs in the market has caused a shortage of supply and demand is skyrocketing.
This is truly a win-win situation for the foreseeable future for both buyers and sellers in this market. Kevin Bailey is overjoyed to be able to call all of his past clients and tell them just how much equity they have earned in their home by making the right decision to buy when they did. He also stressed the importance of buying now and that it is not too late to get in especially if you are currently renting. Kevin Bailey's team is with Keller Williams Realty and works all over the northern Virginia area - he is accepting new clients. He can be contacted at 540-481-0472 or www.KevinBaileyTeam.com