Agents Still Having A Ball Despite Fall in Property Market – I
Posted in Foreclosed Homes, Foreclosed Properties, Foreclosure, Foreclosure Homes, Foreclosure Listings, Foreclosure Properties, Real Estate, Real Estate Foreclosure, Real Estate Market, August 13th, 2007
Real property agents dealing in foreclosures, in San Diego County, are having a good time even though the housing boom has ended.
The increasing number of foreclosures, day by day, has form a sort of separate market in real estate. There are potential buyers in towns who are ready to invest in such properties. Still, lenders are finding it very difficult to make an immediate arrangement for the foreclosed homes and therefore the stocks of foreclosure property are piling up. In such cases they seek auction companies for assistance.
The implication of foreclosure on some is really devastating. It is an big hurdle for the homeowner, and this cannot be denied looking at the implications of the rapid increase in the rate of foreclosures being filed. Though the foreclosures form a fraction of the property market, its trend is upsetting. It is seen that property prices of other houses, in an area where foreclosure homes are located, generally fall below the market value. There are also apprehensions of sabotage.
In San Diego County, 2897 foreclosures are documented in the first year half of 2007. Compared to that, during the same time last year, the figure was 446- a straight increase of 552 percent.
There are about 23,999 houses recorded for resale presently. They are either in the last stage of sale or are foreclosed. Agents dealing with such real property, called as REOs i.e. real estate owned homes, are considered to be the busiest agents in town.
Some Agents deliberately shift to the distressed part of the industry to earn profits. They believe that their action is guided by having the most practical approach. Potential investors always investigate about a bargaining possibility in any deal, though real estate experts are not sure whether the discounts are available. A possible reason for this is that foreclosure filings are still unavailable in sufficient amounts to provide profound discounts.
As mentioned by the DataQuick Information Services, who are recording trends in real property since 1988, foreclosure sales increased by 9.8 percent of all the other sales between April and June this year. A year ago it was just 1.8 percent. Well, this figure is still less than what it was during the mid 1990’s.
Foreclosure is a hot market and a much discussed topic in real estate. It’s a new trend grabbing the attention of everyone whether it is an owner, an agent or an investor.
