A radical idea is becoming popular.  When an owner loses their home, it is customary for the bank or lending institution to remove the previous owner and take possession of the property and prepare it for sale.

                                                                                                                                    

      A new look at the practice has come up with another idea where the previous owner, while no longer the owner, is allowed to remain in the property as a renter at market rates.  This has several advantages to both the previous owner and the lender.  The previous owner is allowed to stay in the home which they are familiar with while the lender receives money for the property with the property being kept up and not having that depressed, vacant, unkept look.

 

     Fannie Mae is advocating this policy and is urging banks and other lending institutions to follow suit.   If being removed from a home that one has owned is traumatic then this new approach may make it a little less traumatic.

 

                                                            Don Schaller

                                                            Broker/Owner

                                                            Schaller Family Realtors

                                                            Dickson Realty Truckee

                                                            dschaller@suddenlink.net