Foreclosure Moratorium

[Leo Litto]

The NY Times recently ran an article indicating a number of banks (including Citicorp and Morgan Stanley) have announced they will temporarily cease processing foreclosures, presumably in an effort to demonstrate that the TARP program is actually not a black hole. How will this effect our local auction statistics? Will this be an across-the-board moratorium or will specific criteria be applied to identify more "worthy" loans?

[George Roddy, Jr.]

Leo,

I do not think we will see anything more than a 10% percent reduction in foreclosure postings. I think a lot of what the banks are saying to the media is the "exact opposite" of what they actually do.

Lets see what happens over the next few months.

George