Will there be more pre-foreclosures and REO’s in the coming months, or fewer? Here are some indicators to ponder…
According to the credit reporting agency TransUnion (as reported in the 11/17 Enterprise Record) 6.25 % of U.S. mortgages were past due 60 days + in the third quarter of 2009, which is up 58% from one year prior when the percentage was 3.96. The 60+ late category is a good clue that a borrower is headed towards default.
Another consideration is seasonal buying patterns. The typical scenario in Butte County is a winter slow-down in home purchases. As home sales slow, inventory goes up, prices nudge down and distressed properties become more distressed!
These factors suggest that for the next few months anyway the availability of short-sale and bank-owned properties will continue to grow.
Although this is a prolonging of the dark cloud of distressed properties, for buyers there is the silver lining of lower prices and higher inventory which create an even better buying environment for home-seekers and investors. So if buyers are watching market conditions they’ll know that this winter is a great time to buy.
Click these links for a list of all short-sale and REO properties currently for sale in the Chico Multiple Listing Service.
According to the credit reporting agency TransUnion (as reported in the 11/17 Enterprise Record) 6.25 % of U.S. mortgages were past due 60 days + in the third quarter of 2009, which is up 58% from one year prior when the percentage was 3.96. The 60+ late category is a good clue that a borrower is headed towards default.
Another consideration is seasonal buying patterns. The typical scenario in Butte County is a winter slow-down in home purchases. As home sales slow, inventory goes up, prices nudge down and distressed properties become more distressed!
These factors suggest that for the next few months anyway the availability of short-sale and bank-owned properties will continue to grow.
Although this is a prolonging of the dark cloud of distressed properties, for buyers there is the silver lining of lower prices and higher inventory which create an even better buying environment for home-seekers and investors. So if buyers are watching market conditions they’ll know that this winter is a great time to buy.
Click these links for a list of all short-sale and REO properties currently for sale in the Chico Multiple Listing Service.
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