Go to Fantasyland if you need good news about real estate. Sales were briefly up, however it was artificially propped up by the tax credit. Foreclosures were barely helped by the loan modification program from the government. Not only did few homeowners actually have their bank loans and residences saved by the program, however repossessed properties have really increased. Repossessions are higher than have ever been recorded. There was a 25 percent increase since last year.
Ascending home repos
The number of repossessions has shot via the roof since 2009. RealtyTrac, a mortgage brokerage, keeps track of these trends. RealtyTrac just released a report wherein it is revealed that repossession of residences is at the highest level ever. The report for August 10, as outlined by Bloomberg, showed 95,364 repossessions. RealtyTrac has not yet recorded numbers that bad. The number keeps growing. That is a lot of individuals that have to find a new home. It was only a rise of a few percent since July. However, it is a 25 percent raise since August 2009.
Non-payments and home foreclosures recorded
Don’t despair entirely. There is good news. Since July, foreclosures decreased. So did notices of default. That being said, there is a difference between foreclosures and repossessions. Foreclosures are part of a lawful proceeding. Banks have to serve notice and fill out a lot of paperwork. There also are ramifications, such as the mortgage holder being responsible for any lost revenue when the home sells. Repossessions are just when the financial institution or finance company kicks a delinquent homeowner out however doesn’t start any lawful proceedings, and just resell the home.
More homes waiting for sale
You will find lots of houses sitting there. These houses are accessible at good prices too.
It is not as though you can buy a home with a small money advance, however if you are able to get the financing, a good home can be acquired at a good price. Presently, 1 in 381 homes is in foreclosure.
Bloomberg
bloomberg.com/news/2010-09-16/bank-seizures-of-u-s-homes-reach-record-for-the-third-time-in-five-months.html
