According to CoreLogic’s Negative Equity report last week, “11.1 million, or 22.8 percent, of all residential properties with a mortgage were in negative equity at the end of the fourth quarter of 2011. This is up from 10.7 million properties, 22.1 percent, in the third quarter of 2011.”
So, one of the biggest concerns on the minds of REO Corporation Order Mills is that the Foreclosure Shadow Inventory (RSI) is beginning its long and cumbersome journey. Part of the concern is that with 10 million +/- homes valuating at around $246 Billion the trickle coming through is soon going to become a flood. Albeit, WSJ, CBS and other media outfits are reporting less of a doom and gloom scenario, what is NOT being discussed is that whether or not there will be enough trained contractors willing to work on them.
Make no mistake on this point: Large firms are, right now, talking about the Guild pushing grassroots organizing. The reality is that no matter how many Craigslist crackheads they can employ, the IQR kickouts will eventually begin to cut into the profit margins.
I listened in on Mickey Levy’s (http://www.linkedin.com/pub/mickey-levy/20/875/420) interview on Bloomberg last week and I concur that where QE2 (the Federal Reserve Board’s policy of Quantitative Easing) policy probably should have never happened, QE3 is a miserable failure. Regardless of Bernake’s dump of cash into the mix to keep interest rates down (and I believe risking eventual hyperinflationism), the banks are going to have to start shedding the dead weight of the FSI.
Enter the Guild: Ladies and gentlemen, we are at the precipice of a Perfect Storm. By becoming lean and organized; employing advanced Open Source technology assets; by bringing to bear both legal and legislative agendas unified and timed; and by making our Regions sanctuaries for Corporations whom want a job done right the first time each and every time I believe that now is the perfect time to deliver the message to the Emperor Whom Wears No Clothes. Yeah, the ones whom understand those final words need to understand that the Guild is here to STAY!
There is more to this Industry than simply the megalithic mastodons whom have attempted to break our backs with their labor while they feed at the public sector’s trough. There are many other GREAT companies whom are looking for workers and are able to pay better! The Guild and its members are going to position themselves to be available to these companies whom have had their actuaries “count the beans” and realize it makes FAR more sense to pay fair market value once than to pay for the job to be done 10 times by the Craigslist crackheads.