Re: Re: Santander will “price to sell” its real estate portfolio



There is nothing ‘Spanish’ about what is being described here. If anything, it reinforces my overall prejudices against bankers and banks.

In the US, most banks refuse to re-negotiate mortgages, even with existing, good clients who demonstrate that they can continue to make payments but less than the original mortgage terms. So instead of taking a small loss or delaying the same profit for a few years longer, the banks choose to foreclose, making the home owners homeless and adding yet anther empty, unsaleable house to their now extensive real estate holdings. I don’t know if there is something in the tax laws that favors this scenario, but given all the whining I hear, I doubt that this in any way benefits the bank. And the industry is saying that foreclosures are down this year – based upon the statistics as of April, they’re predicting that only 850,000 homes will be repossessed in 2011. Somebody open a bottle of cava!