This is what’s really happening: FannieMae and FreddieMac are holding foreclosed houses off the market, in anticipation of “selling” them to campaign donors.
Meanwhile, the town is being picked clean, with prices being bid up by buyers convinced that houses are going out of style — a story we’ve heard before, yes?
As an example, my BargainBot search, which is shared with hundreds of investors all over the world, is at less than 5% of it’s peak. A search I use to select premium rental homes produces one listing this morning, where it stood at 45 homes in April of 2011.
If Fannie and Freddie “sell” the homes they own to politically-connected “investors,” the rental market in Phoenix will be slaughtered.
And if they release the homes they have been hoarding into the MLS, Phoenix will hit a third bottom before the market can finally recover.
You can call the news media idiots or you can call them liars. But any news from any official source about Phoenix real estate is dangerously misleading.
Meanwhile, if you need to sell, your house will go for top-dollar at blinding speed.