Breaking News: New Obama Housing Program-Bulk REO Sales, Rentals

Florida- The Obama administration and federal regulators announced a few weeks ago that the a very close to announce a plan that they would sell government owned foreclosed properties in bulk to investors that in return intent to use those properties as rentals. The hope for this plan is that this will help recover the housing market more quickly by taking the inventory out of the sales market.

This foreclosed properties are worth billions of dollars and on the books from Fannie Mae, Freddie Mac and FHA.

What we know so far is that there will be a “pilot” sales program that will sell REO properties as bulk sales on investors as rentals.

Still there is a back lock of not yet foreclosed properties due to last years foreclosure mess and officials hope with this program to mitigate better through a new foreclosure wave.

The REO-Rental profile they are working right now for investorsĀ  is proposed asĀ  follow:

– Investor want a scale of 50, 100, 500 Properties

– the Investor as more than $1Billion of assets

– looks at different approaches

Looks like the “small” guy’s will not get a piece from the pie again.