Well, I fell for the propaganda about the coming foreclosure wave. I did expect a bunch more inventory once we got past Sept. My buddy at the bank told me, my agent friend told me and I kept reading about it. So I got all my paperwork together, got my a new pre-approval and was anticipating looking at some houses. But Nooooooo, there is nothing but trash and a few numbskulls trying to get bubble prices on the market these days.
Now I am hearing that the government is actually asking the lenders to keep the inventory thin and now we have Fannie renting homes back to people. The Mortgage mod plan is still putting a kink in the inventory by letting these people live in the houses a little longer. The latest news on the mortgage modification scheme isn't good (as we expected). Very few of the people are actually qualifying or even applying for a permanent mod. Most of them seem to be using this as a way of getting a few more months out of their house.
It just sucks right now. The government has got this market screwed up worse than ever. I can't imagine what they are going to do to healthcare after this fiasco. The really sad part is that there are a lot of buyers out there. If the inventory was there (and the prices right) they would probably sell a lot more houses. Those sales would drive the economy as those people bought furniture and other trinkets for their new homes.