Financial crisis ready to reenter housing

The time frame for borrowers who were significantly hit after the financial crisis to improve their credit score is about to happen, opening the door for a lot of consumers to reenter the housing market.

According to Experian’s latest analysis, foreclosures, short sales and bankruptcies remain on a credit report for seven years, which means these items are due to fall off the credit files of 2.5 million consumers between June 2016 and June 2017.

And even better for the housing market, the analysis shows that 68% of these consumers are scoring in the near-prime or higher credit segments, meaning the opportunity for this group to qualify for mortgage loans is growing.

The new Experian study looks at these potential borrowers and analyzes the consumers who foreclosed or short-sold between 2007 and 2010 and have since opened a new mortgage.

The study refers to these consumers as “boomerang borrowers” and shows that they have responsible credit behaviors and improving credit scores.

“With millions of borrowers potentially coming back into the housing market, the trends that we’re seeing are promising for both the mortgage seeker and the lender,” said Michele Raneri, vice president of analytics and new business development at Experian.

“In the coming years, boomerang borrowers will be a critical segment of the real-estate market,” said Raneri. “While many of these borrowers have gone through a very difficult time, it is encouraging to see them taking control of their finances with better credit scores and all-around better credit management.”

The study also found that the people in the short-sale category are rebounding at a higher rate than those who foreclosed, and are making their payments on time.

Using the program, agents can feature a specific listing or automatically highlight new listings or recently sold homes. Plus the program allows agents to target potential homebuyers in a specific area.

“Premier Agent Direct helps agents more efficiently work their farm area and either extend or eliminate the need for a direct mail campaign by using precision targeting to connect with local home shoppers and sellers on a medium they are using every day,” Zillow said.

According to Zillow, the Premier Agent Direct program is now available on mobile and desktop.

 “We have worked incredibly hard this year to create new opportunities for agents to connect with buyers and sellers so they can scale their businesses with greater ease – the new products are the results of those efforts,” Greg Schwartz, Zillow Group’s chief business officer, said.

“Through this new publishing platform, we have created a way to significantly increase the agent’s reach to consumers who are in a transaction mindset,” Schwartz added. “With precision targeting, we know these people are using Zillow and Trulia, and now there’s a new opportunity to connect with them on Facebook.”