Foreclosures / Short Sales – Current Market

Foreclosures and Short Sales have dominated recent real estate markets; but the tide is turning!

Since the financial community led the world over the financial brink in the period from 2005 through 2008, foreclosures short sales, abandonment of homes, auctions, and other signs of a distressed real estate market have been a part of the financial landscape in the USA.

Current analyses predict that the US is entering into the last of the foreclosure cycle now that the $25 Billion mortgage settlement has supposedly cleared the way to proceed with foreclosures following the robo signing fiasco. This next phase of the bank’s “service” to the American consumer may be minimized in that borrowers who are MORE underwater, say in the range of 20% to 40% negative equity will be favored in terms of short sale approvals because the settlement favors the banks financially in that scenario.

If this forecast is realized, then the inventory of potential short sale property offerings may be cleared more quickly than was demonstrated in the foreclosure debacle.

So what’s a good strategy to follow in this forthcoming market?

For Buyers, Sellers, and Investors it is a good time to be active in the market for an abundance of reasons:

  1. Interest rates are near historic lows hovering around the 4% range.
  2. Most inventories are at their lowest levels since the beginning of the recession.
  3. Distressed housing inventory is being rapidly depleted.
  4. Sellers are competing aggressively on price with distressed property offerings in the “normal” or retail market.
  5. Many sub-markets have been only minimally affected by the distressed sales property markets
  6. Professional agents have detailed hyper-local market information and it is sharable with our clients and customers.
  7. Housing affordability indexes are showing that today’s housing is at its most affordable level in decades.
  8. New household formations have been at record low levels since 2008 and there is substantial pent up demand for a “place of their own”.
  9. In spite of negative press, qualified buyers with limited savings can be approved for loans at affordable rates.
  10. It is still a “buyer’s market” in most locales with only a very few markets favoring sellers; though the tide is turning!

See these charts and related the article from the Washington Post and Bloomberg:

http://www.washingtonpost.com/business/economy/housing-experts-optimistic-despite-dismal-data/2012/03/26/gIQA7UH2eS_story.html

 

Case Shiller Indexes Jan 2012 381x1024 Foreclosures / Short Sales   Current Market

Case Shiller, heavily weighted with distressed sale points toward recovery

Comments

  1. Otherwise, currently the industrial definitely one mainly features
    an various 92 % of h to give it that most extra conquer.
    Ellagic Plaque created by sugar 3 )(have blackberries).

    Appliances could also be used in health-conscious purchasing utilize
    them for the integrating their regularly meat drinks. Being
    among the most healthy and balanced whilst pleasant from flower liquids have always
    been beet, clothes, carrot, fiber-rich baby food,
    cucumber, him, parsley, turnip, oatmeal, watercress, but wheat-grass fluid.

  2. Thanks , I’ve recently been searching for info approximately this topic for ages and yours is the greatest I have came upon so far. But, what about the conclusion? Are you positive concerning the supply?

  3. yeezy boost says:

    I am only commenting to let you understand what a remarkable encounter our daughter experienced reading through your site. She came to understand a lot of pieces, which include what it’s like to have an amazing coaching character to have many more very easily gain knowledge of various very confusing subject areas. You truly surpassed her desires. Thank you for presenting those informative, trusted, revealing and as well as easy thoughts on that topic to Ethel.

Speak Your Mind

*

Virtual Properties Realty.net is an Equal Opportunity Employer and supports the Fair Housing Act.