Doing The Right Thing...

July 18, 2008
The Real Estate Lady and Condo CanDo in Charlotte, NC
Doing the right thing…
North Carolina lawmakers have approved a bill that would give the state commissioner of banks the power to step in when homes with subprime mortgages are facing foreclosure.
The bill requires mortgage servicers to give at least 45 days notice before they start foreclosure proceedings on subprime loans.
Notice also must be filed with the state commissioner of banks, who will review individual loans to determine whether they can somehow avoid foreclosure. If that’s the case, the commissioner will have the right to extend by 30 days the date on which lenders can start foreclosure proceedings. The state banking office then will work with borrowers and servicers to work out a deal.
Problems with housing are much worse in most other areas of the country than they are in North Carolina. But the state isn’t immune to the crisis: Foreclosures across the state are expected to hit 60,000 this year, up from about 50,000 last year.
The bill passed the state House on Thursday. The Senate has already approved the measure. Gov. Mike Easley is expected to sign the bill.
And here’s applause for Spectrum…
Times are tough for developers seeking to build uptown, but acting in good faith now will surely lead to success when the market turns around. At least that’s the philosophy Charlotte-based Spectrum Properties is following by giving back the earnest money it collected from buyers.The company cited an uncertain economy when it shelved plans for a mixed-use tower at 300 S.Tryon Street, a 200 million, 32 story office and condo building.In February, Spectrum Chief Executive Darryl Dewberry said the project had been suspended. Not only does the delay pull 150 residential units out of the development pipeline but it also removes about 316,000 square feet of office space from future inventory.The company recently decided to return deposits to condo buyers, a move that spurred many real estate watchers in the community to assume the deal was dead. That’s not the case, says Steve McClure, Spectrum vice president.Our plans have not changed-it’s still on hold. We want to make sure the market circumstances are right, so we felt that the right thing to do was to give buyers their earnest money back.The company had more than 50 per cent of the condos under contract he says. Everyone in this town is waiting to see how the financial markets are going to turn out. We plan on trying to do a lot more deals in this town, and we want buyers to come to us.
Good for Spectrum. Atta guys!

The Real Estate Lady and Condo CanDo in Charlotte, NC