By the time most of you read this we may be on our SECOND ever foreclosure tour, and the whole concept will be old news since we had the tremendous luck of being featured on the FRONT PAGE of "The Spectrum" Sunday edition! Click on picture below to see the entire article.

Fortunately they angled the picture such that my bald spot is hidden............

The amazing part is that it was the SECOND time our story & commentary hit the paper this week...the Thursday paper featured another story about the affects of the foreclosure market and I was honored to share a few thoughts - see the full article HERE.

Controversial? I knew for a fact that some controversy would be stirred up by our actions in hauling people around in a van to look at bank-foreclosures, but I LOVE the dialogue that gets opened up.

On the Spectrum.com website the following comments were made:

"Sadly this is like a bunch of vultures gathering to claim another victim of tragedy."

"Why are developers and realtors snapping up these houses and flipping them at higher prices, just like they did a couple of years ago?"

"Will Washington County have several more of these rampant growth cycles of highly inflated house costs only to crash again and again? Vote (a specific ticket) if you want the cycle put on a corrected course."

Before I had time to respond on my own an astute reader essentially took the words from my mouth by saying, and I quote:

They are snatching them up and reselling them for what people are willing to pay. Why does the grocery store "snatch up" produce at low prices and sell it to you for a profit? To Make Money! These people are smart and have kept themselves solvent so that when these opportunities arise they can capitalize. the price isn't inflated if the buyer is acting in their best interest and is happpy to pay the price asked.

As far as victim of tragedy goes, that is a stretch. Most of these homes were bought with little if any money down and by people who overstated their income to qualify. At the time the bought them there were plenty of affordable homes for them to choose from but they choose to bit off more than they could chew. other than a tattered credit rating most of the home owners lose very little money. The real losers are the banks that lent them the money. Finally, to think that who you elect to public office will change the natural ebbs and flows of capitalism is pretty naive. As long as people need a place to live and builders over build there will be peaks and valleys in realestate markets. The trick is for the buyers to make prudent decisions and for government to stay out of it. Supply and Demand Baby!!!!

I truly couldn't have said it better myelf....

Who goes on these types of tours? Well I will tell you EXACTLY what kind of people right here:

  • We had 2 older couples from Alaska searching for a second home.
  • Another retired couple who are currently renting but see that buying opportunities have finally arrived
  • A father & his 15 year-old daugher came from Northern Utah to research an investment property that could serve as a second home also.
  • A St. George couple, parents of 4, who are looking for an investment property as well as relocation from their current home.
  • A former Seller client of mine with his fiance who were researching the market to see if they could afford a home later this year.
  • A Spectrum reporter who in my view, had a great time and learned alot

Amazingly for our first tour, it went off without a hitch. We left exactly on time and even after seeing 8 homes with a potty stop at Hart's and a few special presentations by our Home Inspector Mike Chris, we pulled into the lot exactly 2 minutes ahead of schedule. The best part? We had FUN presenting the current market and personal anecdotes to a great group of potential buyers.

Stay tuned for more developments on this issue, but this maiden tour confirmed a few things we already knew in advance:

  • There is a foreclosure situation happening locally as well as nationally that cannot be ignored.
  • One of the very first & best steps I can personally take is to spend LESS time complaining about it and MORE time getting the excess inventory in front of the buyers who are looking for it
  • The Buyers are looking for it.

Next tour? Saturday November 1st - full details here: www.SoUtahForeclosureTour.com