Bloomberg: Banks Paying Homeowners To Avoid Foreclosures
Tuesday, February 7, 2012 - 12:34 PM
"Banks, accelerating efforts to move troubled mortgages off their books, are offering as much as $35,000 [...] to delinquent homeowners to sell their properties for less than they owe. Lenders have routinely delayed or blocked such transactions, known as short sales, in which they accept less from a buyer than the seller’s outstanding loan. Now banks have decided the deals are faster and less costly than foreclosures, which have slowed in response to regulatory probes of abusive practices."