Issue link: http://dsnews.uberflip.com/i/832323
64 I N D U S T R Y I N S I G H T Technology has made the mortgage industry faster, more affordable, more compliant, and more convenient—and it's not done yet. The industry's top players weigh in on the power of technology, how to harness it, and where it's headed. A Path to Stabilization By Jason Allnutt, Auction.com Increasingly, financial institutions are recognizing how distressed properties sold in the open market create greater competition among buyers and yield a greater net return, helping communities become more stable and home values increase. By utilizing online marketplaces, banks can see these results sooner, adding additional benefit for themselves, buyers, and neighborhoods within their local communities. e REO industry has taken steps to mitigate the impact of distressed homes, and while initiatives like requiring Plexiglas (instead of plywood) over the windows of vacant properties does have a positive impact, the only meaningful way to make an asset valuable again is to convert it back into a stabilized property. Distressed homes—no matter the cosmetic fix—can become havens for crime. More important for a financial institution is the associated reputational impact of evicting an occupied property within the very communities it serves. To mitigate this reputational risk and more quickly (and profitably) convert distressed assets into stabilized properties, financial institutions are leveraging online marketplaces as an alternative disposition strategy. Much LIMITLESS POSSIBILITIES