The Federal Housing Administration (FHA) has homes that it financially “backs up” called HUD homes. These special homes are foreclosed homes listed on foreclosure listings and are one step away from being taken away from one family and put up on the market. This sounds simple, but it is also very heartbreaking. A family works very hard and in the end, they lose their home anyway. That can be devastating, especially if that family has had that home for perhaps generations. How would anyone feel if they work one or two jobs and still cannot meet that big mortgage payment, and the place they call their home gets taken out from under them? This very sad situation is exactly what the Distressed Asset Stabilization Program is all about, giving hard working people a way to keep their homes without the badgering and horrific treatment from a mortgage company.
The Distressed Asset Stabilization Program was developed to make it possible for home owners to keep their homes. The economy is tough all over and mortgage companies are taking houses away at an alarming rate. With the Distressed Asset Stabilization Program someone other than a mortgage company will be able to buy the delinquent loan and together with the actual owner of the home, find a way to work together so that the home is saved. So, between this private company and the home owner, a delinquent loan will become current and in the end a home stays with the family that has put so much work into it.
A for sale by owner home is often a good way to barter for an acceptable price without a realtor. Not as visual as bank owned homes or houses advertised by realty companies, it often takes a bit of work to locate an fsbo. RealtyStore.com, the most frequently visited foreclosure website on the Internet, has now made it possible to view those hard to find for sale by owner homes.
Equally tough is the cost and advertising for home owners that wish to present their home to the public through a for-sale-by-owner (fsbo) sale. For $19.95 per month, RealtyStore.com takes the worry out of getting an fsbo house in front of the public. This is great news to homeowners that cringe at the thought of newspaper listings or paying a realtor 3 to 6% in commissions.
With a regular audience of over 3 million, RealyStore.com specializes in non-traditional home sales with 40% being foreclosures. Other types of real estate includes MLS listings and rent-to-own properties. Many visitors to the site are ready to buy and make offers quickly. An advanced search technology lets shoppers find desired real estate in minutes, saving the hassle of wasted time and effort.
This new feature is a welcome opportunity for fsbo clients in realizing the ease to bring potential buyers right to their doorstep. Available now to homeowners looking for somewhere to list, RealtyStore.com has just the option for immediate potential plus many educational options for those new to the industry.
Those hoping to take advantage of the extremely low interest rates of the last few years will be heartened to know that single-family new home sales increased in May by 7.6 percent. According to the Department of Housing and Urban Development (HUD), these sales are 19.8 percent higher than those same statistics from May of 2011. This increase shows that banks are feeling more secure in lending money to homebuyers. The increase in new home sales should bolster the construction industry and benefit the economy in general.
If banks feel on more sure financial footing it stands to reason that not only will they be inclined to loan money for new home purchases but for foreclosed homes, HUD homes, and short sales as well. Additionally, for those banks that have been dragging their feet, foreclosures may begin moving more rapidly. The results will be more foreclosed properties for sale.
For this reason, the near future may be the best time to make that new home purchase and join the ranks of those who can say, “I own it, this house is mine.” Short sales could soon decrease and these low interest rates cannot last forever. The time to buy is now while the supply and interest rates are at optimum levels for potential buyers.
A recent study conducted by Realtor.com has revealed that the demand for foreclosures in the last two and a half years has tripled as people look for cheap homes to not only invest in but to also reside in. While the growth itself is not surprising, what is surprising is the fact that an incredible 92.1 percent of the people interested in foreclosures now want to live in them as opposed to investing in them.
According to the research conducted by Realtor.com in October 2009, foreclosures accounted for only 29 percent of all home sales in the country. Furthermore, since 2009 the interest amongst homebuyers in cheap homes and bank foreclosures has spiked by an unbelievable 159 percent.
It is also worth mentioning that, as of now, around 64.9 percent of today’s potential homebuyers have stated that they are likely to purchase foreclosures. This is in direct contrast to 2009 when only 25.3 percent of people had stated this. In addition to this, Realtor’s survey also revealed that only a paltry 6.9 percent of potential foreclosure buyers today are interested in buying these cheap homes for investment purposes. This means that interest in foreclosures as investment properties has dropped to the tune of 6.3 percent in the last two and a half years.
As per the Chief Executive Officer of Realtor.com, Steve Berkowitz, the change in statistics is a result of a wide variety of factors. Even so, he did specify three major causes for these statistics, and they are:
- Projections of improvement in the real estate market
- Reduction in supply
- Changing attitudes that used to cast foreclosures in a negative light
Due to the increase in short sales in the US, many were able to purchase property at below market value. This occurred because of a 25 percent increase in pre-foreclosure sales, the highest it has been since early 2009. The banks taking on the possibility of more foreclosed properties allowed transactions where the sale price was lower than the mortgage balance. It was good news to property buyers, but bad for banks. Now the trend of selling pre-foreclosed properties is on the rise; rather than waiting for the bank to buy the property back and as a way of easing through the troubled loans.
Short sales help to slow the mortgage losses and help both the mortgage holders and the homeowners from the rigors of the legality of full foreclosures. Mortgage companies now accept lower priced short sales, which keeps the property out of foreclosure processes. The number of repossessed homes is dropping due to hefty settlement fees induced on the five largest US mortgage companies over having wrongfully repossessed homes. There will be fewer properties in the foreclosure listings due to this.
The trend of selling off pre-foreclosed homes is highest in California, followed by Florida, Arizona, Georgia, and Nevada, proving the short sale is the wave of the near future for home sellers and buyers.
While it is always good for the real estate industry of any country to post good sales and sales growth, what is even better is a reduction in new bank foreclosures in the market. Such revelations come from experts on the back of the recently released statistics from the Commerce Department, which highlighted that new single family home sales have shown a jump of 8 percent in the month of May.
However, while the increasing sales figures are extremely positive for the real estate industry of the country, experts suggest that the true marker of its future prospects can be seen in the fact that in the same month, the number of new bank foreclosures dropped by 25 percent. The bank foreclosures statistics also showed that foreclosure listings in May dropped by a good 39 percent when compared to the peak period of December, 2010.
These trends are not only good for the industry as a whole but also for home sellers. This is because burgeoningforeclosure listings mean that there are fewer potential buyers for homes that are offered at normal rates. As is obvious, potential home buyers tend to prefer bank foreclosures because it allows them to save a considerable amount of money.
The American real estate industry is currently balanced on an edge, and recent numbers on foreclosure listings in the Austin area of the country reflect this concisely. According to recent statistics of the Austin region, bank foreclosures went up by 14.5 percent for the month of July. However, this increase is yet to reflect in the yearly statistics as the region’s yearly foreclosure listings numbers, as of now, show a drop of around 12 percent.
In July 2012, the report showed 981 foreclosure listings while in the same month of the previous year the number was 857. In terms of the annual numbers, the foreclosure listings between January and July this year were to the tune of 6,549 while the same period last year showed 7,433 foreclosure listings.
This report covers foreclosure listings for four counties in the United States of America. These are Williamson, Bastrop, Hays and Travis. These statistics, if put in perspective, make for an interesting read. For instance, most real estate experts in the country are predicting the industry to start looking up but are afraid that increasing numbers of bank foreclosures might affect this improvement.
The real estate market of the United States of America has been showing signs of revival in the last few weeks. However, while the inventories are going down which shows that the real estate prices are going up, this improvement in the market may be negated by short sale delays from the banks and more foreclosures flooding the American market.
When a buyer puts in a bid for a home on short sale, he has to wait a considerable amount of time before the bank comes back to him. This can easily result in the potential buyers of the foreclosures being disenchanted with the wait and moving on to find other real estate properties that are easier to get. Consequently, the foreclosures and homes on short sale stay on the market for a longer period of time. This, in turn, brings down the market.
Industry experts suggest that even though banks are trying to streamline the process, an approval can take anything from between three months to seven months. Even so, there may be signs of improvement in the future as banks look to resolve the problem of short sale delays through providing preapproved pricing on properties that they decide to put up on the market.
Alabama is a state that manages to combine the benefits of both the countryside and the urban setting. The reason for this is simply that the state of Alabama is one of the major agricultural and manufacturing hubs in the country. As an effect of this, the state boasts of beautiful landscapes and vistas which are contrasted by its practical and highly optimized urban settings. If you are looking for a home in the state of Alabama, then your best option would be to go through foreclosures in Alabama.
If you go through the various Alabama foreclosure listings in order to find REO homes, repossessed homes,cheap homes and, in general, affordable housing, you will find the largest concentrations of the same in the more populated cities of the region. The largest city in the state of Alabama is Birmingham, which boasts of around one fourth of the population of the state. Following close on its heels is the capital of the state of Alabama, Montgomery which is located in a wonderful location. Alabama is a beautiful state that can offer both sanguinity and excitement in the same measures to people looking for homes in the state.
For instance, while this article was being written, there were around 31444 foreclosures in Alabama on the basis of the Alabama listings provided by RealtyStore.com. The majority of these foreclosures were focused in counties such as Baldwin County, Jefferson County, Madison County and Montgomery County.
In terms of the cities in the state of Alabama, most foreclosure listings were found in Birmingham, Mobile, Montgomery, Huntsville, Foley, Gulf Shores, Daphne, Orange Beach, Fairhope and Theodore. The zip codes that should get your attention the most if you are looking for foreclosures in Alabama are 35242, 35124, 35215, 35216 and 35226 amongst many others.