Posted on 12/06/2006 6:24:53 PM PST by GodGunsGuts
Hundreds of Georgians lost their homes Tuesday.
The houses, taken from debt-laden homeowners, were sold to bidders on courthouse steps statewide.
The increasingly busy monthly auctions show that not all of the residential market is in decline.
Foreclosures are rising.
More than 115,000 properties across the country were in the foreclosure process in October — up 42 percent from the same month a year earlier, according to RealtyTrac, a California company that tracks foreclosures.
Foreclosures in Georgia are up a stunning 99 percent in the past year...
(Excerpt) Read more at ajc.com ...
It will pass. Real Estate is like everything else - it trends up and down. We're in our third home in 25 years and it is paid for, so it really doesn't bother me right now. We had talked about moving but the market is slow here so we'll wait.
OK so the lender buys the house for its payoff.
What happens next? The bank or mortgage company doesn't really want the house. They can't live in it, and very, very few would ever rent it out.
They might list it with a realtor, or even have an in-house realtor, but in order to get back the money they lent on the house, they have to sell it sooner or later. And, if the market has declined they are going to get back less than they lent.
Just wait till hundreds of billions in arm and no money down/exotic loans readjust upward from the teaser rates over the next couple years.
As others have posted, Colorado is #1 right now. The Denver Post has a special series that is going into some of the details of these forclosures. Although it will take a while, reading all of these articles is worth it. Occasionally, the Post and the Rocky Mountain News do a good job of investigating, and this is one of those times.
I was just about to say Nevada because I've lived there several times
and people try to win rent through gambling. Admittedly.
The market in Nevada will never dry up though. Also, you must include
all the retirees who move there and die.
Anybody here familiar with the Nevada market may correct me.
Merry Christmas,
MaxMax.
There aren't any sources or background numbers here because this is not a technical discussion, this is a religious discussion. Welcome to the Church of the Miserable where we read from the sacred texts of the Atlanta Urinal and Constipation.
If you've come here by mistake and you were merely looking for information about home defaults, you can see this info from the Federal Reserve (home delinquencies are down) or this info from Bureau of Economic Analysis (home equities are up).
That is correct, but they cannot write off a perceived loss, nor can they collect insurance until there is a real loss. The job is not done until you finish the paper work. After they try to sell it at the price to not lose money and have the paper work to prove a good faith effort. Then they will sell at a reduced price if they haven't sold it to a customer by then. Most often a person who works with the lender on a regular bases buy the property.
So you are applying the laws of supply and demand to real property that you use to sell candy bars. "LOL"
You didn't answer my question. I make MONEY from Real Estate. Do you? If not, you can just STFU for all I care. I've been buying foreclosures for 3 years and have made a killing. I'll take cash over YOUR opinion any day.
Old people have started treating reverse mortgages as free money. My mother is doing one. When the money runs out, she's just screwed.
awesome insight and many thanks...Something for nothing is still a fantasy.It makes imminent sense to be aware and again my honest thanks for your excellent heads up
thanks for your expertise and taking time to share
I don't know, that last leg up looks like it will take a longer than usual correction IMHO.
Great. Just freaking great. Tack this money onto the healthcare costs they stick us with.
Price in Oregon will probably fall back to 2001 levels. Wiping out all "gains" in the past five years.
My pleasure!
You may want to go to http://www.hud.gov/homes/ and search for homes in your state/area. I'd recommend you just follow some number of these auctions to see how they go. HUD auctions are, for want of a better word, somewhat "controlled" in that (as I said earlier) the properties usually have to be brought up to minimum standards. This is a govt-mandated practice that tends to get the lenders better $$ for their props. By "controlled" I mean; with these HUDs, you're far less likely to be dealing with a drug-crazed dude with 4 pit bulls who bashes his fist through walls or three dead cars on the front lawn or pipes ripped out of the walls. In the "real world" literally anything is possible. One thing about these HUD deals is that you'll never get snarked by some last minute bankruptcy declaration by the deadbeat borrower or something that creates an ongoing right of redemption.
You HAVE to bid/buy these props thru a HUD-approved realtor and it would behoove you (if you want to pursue this) to get to know one or more in your area. In real estate, there is absolutely no substitute for local knowledge. Such a realtor may have seen loads of these things happen, know how they happen, and might know the name of a local HUD administrator. Because the whole process is a lot less chaotic, the properties go for more than they would in a Wild West setting, but it can be well worth it not to get a bargain on a bad headache.
BTW, there are dozens of govt agencies who sell foreclosed homes, the USDA & GSA being among them. Check out:
http://propertydisposal.gsa.gov/Property/PropforSale/ShowProperty.ASP?Propertyid=1497
and
http://www.resales.usda.gov/ (Nice site)
The real experts at buying these properties get chummy with the local administrators and make their jobs easier by submitting easy-to-accept bids. Determining precisely what an "easy-to-accept" bid is is your task. Buying half a dozen at a time would be one approach. Showing deep readiness to act is another.
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