The Florida Association of Realtors recently reported in an industry e-mailed news letter that the number of homeowers falling into foreclosure dropped for a fourth consecutive month in November. The update goes on to point out that millions of Americans are still being considered for Barack Obama’s foreclosure prevention program.
This actaully leads me to believe that the drop in foreclosure filings may not be an indicator that we are actually seeing a turn around. My question would is how many of these “millions” being considered will fall short ofthe requirements to enter into the administrations program? Could we be looking at forclosures coming out inh the future, could be be penting up the foreclosure that well later be unleashed on the market.
I have many buyers which are n the market to invest and this questions comes up often. Basically, it goes like this “… do you think that the worst is behind us or do you think it will get worse…?”
Well, I guess the answer is a bit of both. Keep in mind that the market is local; therefore, looking at state or national data only gives you a broad view. You really need to focus locally. If we look closely at the stats, we find that yes foreclosures are going down for four consecutive months (this is good right), well not really not when you compare it to a year ago same month. I believe if you do this you will find that they are between 15% and 20% higher this year than a year ago. The anser is to go local.
Your real estate professional will be able to pull the most recent comparables, they will be able to search public records for additional foreclosures, they should also be able to check with the homeowner’s association and with a condo board for the status of the property you may be considering. You are going to want to gauge the possibility of more units going into foreclosure.
The bottom line is if you are in the market to buy, this is indeed a great time to buy; with low interest rates, properties prices well below market and an abundance of inventory to sift through. But be sure to associate yourself with a local, knowledgable real estate professional that will dig up the real scoop on your property of interest. For properties in South Floirda start your search HERE.