Posted on 04/30/2006 4:54:05 PM PDT by ex-Texan
Tennessee ranks among the top 10 foreclosure rates in the nation for the first quarter of 2006, according to recent figures.
Foreclosures in Tennessee were on the rise in the first quarter of 2006, with a 92 percent increase from the previous quarter and a 147 percent increase from the first quarter of 2005, according to RealyTrac's 2006 Q1 Foreclosure Market Report.
The report shows a total of 11,718 properties which were in some state of foreclosure in Tennessee during the first quarter of 2006.
National numbers show 323,102 properties in foreclosure for the first quarter of 2006, for increases of 38 percent from the fourth quarter of 2005 and 72 percent over the first quarter national numbers in 2005.
"Foreclosures have now increased in four consecutive quarters and are on track to go above 1.2 million in 2006, which would push the nation's annual foreclosure rate to more than 1 percent of U.S. households," said James J. Saccacio, CEO of RealtyTrac in a statement.
Nationwide leaders in the number of reported foreclosures during the first quarter are Texas, Florida and California, with 40,236; 29,636 and 29,537 respectively.
Georgia was at the top of the nationwide foreclosure rate in the U.S. for the quarter, with one in every 127 households in some state of foreclosure.
Regionally, Arkansas saw a 73 percent increase from the fourth quarter of 2005 for 3,706 total foreclosures, and a 105 percent increase in foreclosures compared with first quarter 2005. And Mississippi's rate decreased 15 percent from the previous quarter with 237 properties entering foreclosure through March of 2006; compared to first quarter 2005, Mississippi's foreclosure rate decreased 30 percent.
bttt
There was a record number of people late last year filing bankruptsy under the old law instead of the new, stricter law.
I wonder how many were due to that.
Economy is going great [for investors only] bump.
Thanks for the Bump, sir. But watch the KEY WORD VANDALS strike again. Now the cowardly idiots are so pathetic they do not even bother to post a straight reply.
If it spreads to my neck of the woods, I wouldn't mind to much. Don't want to pay for an overvalued home.
The bubble is bursting down here in FL too....taking my neighbors MONTHS now to sell at a much lower price.
Of course, there is no indication of a nationwide real estate bubble yet, but I'm sure the economists are on a sharp lookout for indications.
ROTFLMFAO!
Whether caused by overinflated house prices, ARMs that can really adjust, interest only mortgages, or home equity taken out to pay other debts which tend to mount rapidly again if habits don't change, this real estate ride is about over. I just spent two weeks around Sarasota FL, and March 2006 had a 70%+ drop in house sales volume (number of units, not total value) from March 2005. This is in an area with rapid turnover of real estate from all the Yankees moving down there to die. I'm sorry, but the chickens are beginning to wander back to the roost.
Those more reasonable prices pop the bubble. The buyer's market is coming back.
One of the problems is that banks don't want to lose money. They will try to sell it to recoup what is owed on it. For an interst only loan, that'll be the original sale price.
The BIG driver of forclosures is the quickly increasing interest rates folding over on ARMs - Adjustable Rate Mortgages.
A $700 per month 30 year ARM mortage at 3.65% payment 3-4 years ago can be far higher today, like $1000-1150 today, overflowing many mortage owner's ability to make the entire payment.
This is however a GREAT time to buy forclosed houses if you can fix them for a reasonable price and flip them in a hurry.
Heard on the news this evening (Fox I believe) that 1 in every 300 odd homes is in foreclosure in Col.
"One of the problems is that banks don't want to lose money."
When they get a swarm of foreclosures and a soft real estate market it may just be too late for that. Banks still cannot dictate the market price. They will have only two options: sell at a loss or hold on an manage the properties until the market comes back (which may be years). Since banks are generally not in the business of property management, I would expect many of the foreclosures on the interest only loans will get sold at a loss.
RealtyTrac Inc., a California company that tracks the information, reported Monday that Colorado ranked No. 2 for foreclosures in the first quarter. Georgia was first.
Georgia had one of every 127 households in foreclosure in the first quarter, compared to Colorado's one of every 138.
RealtyTrac reported 13,267 properties fell into foreclosure in Colorado during the quarter. That's a jump of 104 percent from the fourth quarter and a 96 percent increase over the first quarter of 2005.
Those numbers are even better. Perhaps I mis-heard. Too bad I'm happy where I am, the market is still going up here and will for a good while I suspect.
I wouldn't try to flip any houses in the current RE market. Perhaps in some markets one could get away with it, however, I think some folks getting stung now where the ones who thought flipping a house was easy and risk-free.
Just for the sake of discussion. Col. seems like a nice place to live. Would most of these houses going into forclosure be middle or high end? And If I were looking to move and settle there, would now be good or do you think the buyers market will improve?
Buying any house to flip has some risk, but these ARM swamped forclosure houses can go for only 80 percent of the market value, and the risk for flipping is not too bad.
Good my wife and I are going to be getting a new house in 2 years. I would love to get a repo that is sound but mayneed soem tlc at a rock bottom price.
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