Agent2Agent in Las Vegas>Question Details

Anson Wenzel, Real Estate Pro in Las Vegas, NV

Do you think AB 284 is good or bad for the overall housing market in Nevada?

Asked by Anson Wenzel, Las Vegas, NV Wed Nov 16, 2011

Many people including myself think that this bill is delaying the inevitable, which is another huge flood of foreclosed properties as soon as the banks adjust their filing procedures. Yes, it is giving struggling owners more time to consider their next move and to save extra cash for a future relocation. That element is a positive. AB 284, in my opinion, is stagnating the housing recovery. We need more buyers to take advantage of low rates to eat up these bank-owned properties. What do you think?

Help the community by answering this question:

Answers

12
Lots of agents aren't a fan of AB 284, because they think it will create a temporary shortage in the market and then flood the market when the banks resolve their paperwork issues (to put it simply).

I don't have a problem with it for 3 reasons.

1. In a non-judicial foreclosure state, why shouldn't the lien holder have to show the basic paperwork that proves they have the right to foreclose? It just seems like common sense...

2. I think the fear that it will create a massive back log of foreclosure homes, is just overblown.

3. I'm hoping it gives lenders another reason to be more cooperative with short sales, loan mods and deed in lieu.
2 votes Thank Flag Link Wed Nov 16, 2011
I was just rereading this thread....Anson I think we went to High School together. Didn't you go to Silverado?
0 votes Thank Flag Link Sun Feb 17, 2013
ANOTHER UPDATE!

AB284 is up for reconsideration right now (Feb 2013).

http://www.lasvegassun.com/news/2012/dec/09/banks-press-chan…

We are experiencing low inventory here in Las Vegas. The decrease is a direct result from AB284 that has caused banks to stop foreclosing. Since it was passed in Oct. of 2011, REO inventory has decreased dramatically. The bill is up for reconsideration (possibly adding some amendments to allow some types of foreclosures to resume) when the Legislature meets again in Feb. 2013. It will be interesting to see the new affects on the market once additional inventory is reintroduced. I for one think the market will soften slightly but not free fall like it was before. Right now, with inventory being as low as it is, buyers are in bidding wars often times competing with more than a dozen offers. With that being said people are paying above appraisal value and homes are appreciating again at a temporary rate that is way higher than it should be. A new wave of inventory would return the Vegas market back to healthy growth with perhaps 2 or 3 offers on each property, not a dozen.


Best Regards,
Robert Adams
Broker/Salesman
C:702-349-9175
F:702-932-8826
RobertAdams@LVrealestateHELP.com
http://www.LVrealestateHELP.com
Founder of The Adams Team at Rothwell Gornt Companies and LVrealestateHELP.com
0 votes Thank Flag Link Sat Feb 16, 2013
AB 284 has created a lot of winners and losers.....the winners so far are home sellers as this has created an artificial seller's market with multiple offers on properties and over list offers on short sales with desirable locations - also, the new home builders are killing it currently with all the stagnation from the REO/Bank properties.

The losers are the consumers who often get frustrated and drop out of the buyers seat due to frustration with the local real estate market/real estate agents who do not explain the pitfalls of AB 284.

If you are looking for a home, please call 702-217-1680 - I will be glad to explain what is happening in the current las vegas market and can offer some options that may surprise you.

Respectfully,
Steve Harless - Haines and Krieger Realty
http://www.NewLasVegasRealEstate.com
0 votes Thank Flag Link Tue May 1, 2012
Ah yes the AB 284 controversy . It is hotly debated. I have studied what has happened from the very beginning. In fact I start my day everyday by reading the current cases and trying to pass along any good information. I could talk about the subject for hours. I will say that some are informed and understand the complexities of the situation and what AB284 has done and most do not know what they do not know. I am more than happy to discuss the subject with anyone who wants to know what really went on with the securitization of mortgages. I do ask that you come to the discussion with an open mind and alocate some time. This is not a short discussion. I have some great information on the subject. My whole quest is to help homeowners and help them understand how this whole mess was orchestrated. Going back to old saying Knowledge Is Power!
Thank You
Suzie Marquardt
Realty One Group
Fahrnyteam@yahoo.com
0 votes Thank Flag Link Mon Apr 9, 2012
Hopefully we will close more short sales which will prevent the REO scenario. Judging from stats on Foreclosure Radar, it seems like AB 284 didn't "catch up" to us until February (look at trustee sale #'s) so the low inventory scenario resulting from AB 284 is just beginning to take hold.

I believe that our low inventory is more from extremely high buyer interest. We are going on our 16th month decline for inventory. Obviously our inventory decline is resulting from stupid low prices & interest rates. I don't think we will see extreme price increases like 2004 as buyers would rather retreat from the market since they are so price sensitive.
0 votes Thank Flag Link Mon Apr 9, 2012
Thought we should update this thread now that AB284 has been in effect for a while now.

The lack of new REO's on the market combined with increasing demand is driving down inventory at a rapid rate. there is a buzz in the streets and everyone is buying again (if they have the cash or can get approved). The rental market is strong and investors are coming in from all over to buy positive cash flowing properties.

I would just like to add that the very low inventory and the very high demand right now should balance out when the REO mess gets sorted out and we have a new wave of REO inventory hit the market. A lot of people are saying that it will dip again when the REO invetory hits the market but I doubt it will (at least in my market Las Vegas). If it dips at all it will be slight and temporary as even before AB284 stopped NOD's, inventory was still decreasing monthly and demand was still growing monthly.

It is always best to have a back up plan with plenty of reserves and don't go too hard too fast. We are running a marathon here not a 50 yard dash. It is all about longivity.


Best Regards,
Robert Adams
Broker/Salesman
Rothwell Gornt Companies
C:702-349-9175
F:702-932-8826
CREHadams@gmail.com
0 votes Thank Flag Link Fri Mar 23, 2012
Wall Street took every government bailout available as did the auto companies. They seem to have rebounded nicely. This economy is stuck for a long, long time, and without support, housing will be dead.

DAVID COOPER. BUYERS AGENT - INVESTOR - SALES ASSOCIATE - PROPERTY MANAGER
Since 1917 Realty 702-499-7037

Don't Miis the FREE List of Bank-Owned Investment opportunities. Click Web Below
0 votes Thank Flag Link Mon Feb 20, 2012
A great number of my listings are condos with a homeowners assn. Many owners have not paid their dues and are going to be foreclosed on by the HOA. HOAs have "superior lien status" on title. The mortgage (1st) remains as a cloud on the title until a settlement is made. In the meanwhile, the HOA can retain & rent the property. Those condo owners will be forced into a short sale by the HOA. The banks are aware of AB 284 in Nevada and are offering many borrowers a handsome cash incentive to short sale list. These are typically borrowers who have not made a payment in 1-2 yrs. and the loan balance is quite large. I have been getting calls from some of my owners who have received such letters. Moody's financial website had an article:
“Banks are nudging potential sellers by pre-approving deals, streamlining the closing process, forgoing their right to pursue unpaid debt and in some cases providing large cash incentives, said Bill Fricke, senior credit officer for Moody’s Investors Service in New York. Karen Farley hadn’t made a mortgage payment in a year when she got what looked like a form letter from her lender. “You could sell your home, owe nothing more on your mortgage and get $30,000,” JPMorgan Chase & Co. (JPM) said in the Aug. 17 letter obtained by Bloomberg News.” – Bloomberg.com
0 votes Thank Flag Link Mon Feb 20, 2012
Las Vegas is considered the best city in USA to invest in single family homes for investors to get cash flow, per USA Today. The SFR Charts show sales of 3 and 4 bedroom houses are almost hitting all time highs, even with 13% unemployment. Any thing the government does helps.

David Cooper. Professional Investor with 35 Years Experience. Call Now +1-702-739-8820 for Free List of Bargain Homes in Good Areas or Go TO http://www.lasvegaswinner.org
0 votes Thank Flag Link Thu Nov 17, 2011
Hi everybody!

I think the consequences looks very scary for our economy. Please read this article:

http://nevadabusinesscoalition.com/?p=1636


And there won't be many short sales either..
0 votes Thank Flag Link Wed Nov 16, 2011
I read an article from the NAR that said they were going to find a way to help the foreclosure companies. They said they felt their pain. The article stated they were going to find a way around the law without eviscerating it's original intent(AB 284). What the H-ll does that mean. It seems the homeowner is left out of th equation again. Don't we as Realtors Represent Homeowners. Go to http://www.livinglies.com and you will find some great information on Neil Garfield's blog
There are many perspectives depending on what part of the field you play on. I wish more homeowners would stand up for their rights. I am finding some good Attorneys and Paralegals that are understanding the facts. The big issue to unravel is going to be the clouds on title. Forged paperwork,the banks who are merely a servicer foreclosing has created a disaster. This is a big issue that I could talk about all day. Most do not understand what and how the orchestrated Fraud by wall street and the major banks played out. It was a planned event then and now. Please never forget that. The banks admit they don't know who owns what.
Thank You
Suzie Marquardt
Dave Fahrny
Fahrnyteam@yahoo.com
0 votes Thank Flag Link Wed Nov 16, 2011
Search Advice
Ask our community a question
Email me when…

Learn more

Copyright © 2015 Trulia, Inc. All rights reserved.   |  
Have a question? Visit our Help Center to find the answer