Michael Nierenberg is a key piece to the puzzle at Fortress. As an investment expert in various types of mortgages, his expertise and experiences has made him a well-known individual. Michael operates a blog on Medium.com; where he shares his financial knowledge of the banking industry.
In a recent post, Michael Nierenberg elaborated on general mortgage obstacles and resolutions. A residential loans can be a complex subject when it comes to foreclosures. When a property goes into foreclosure, investors may potentially lose half of their investment. One particular challenge of housing foreclosures is the unsuccessful auctioning of a house.
In a circumstances such as this, the house may not reach the minimum required bid. As a result, the majority lender is given ownership of the real estate property. This is known as REO, real estate owned property. REO properties also affects the surrounding property values in the neighborhood, as well as rental prices. In some regions, foreclosures must be initiated through judicial procedures. A situation like this extends the timeline for completing the foreclosure, Michael Nierenberg says.