We have been speaking with loan brokers and investors. Some are now convinced the banks are just trying to contain the inevitable. The banks are not allowing sales are prices which interest buyers. Perhaps because they know what that will do to their loans. Upside down homeowners now have to consider that they are not going to be able to sell their homes in a short sale because banks are just not moving quickly enough.
Therefore imho, all pre-foreclosure solutions must be customized. If banks are not going to get these houses sold at the prices buyers are willing to pay right now the homeowners are not going to be responsible for the large deficiencies the banks my try to collect later.