Short Sale Thoughts
The instructor for the short sale course I took a couple of weeks ago had a theory on foreclosure: If you put down a very small amount on your home and have been paying an interest only type mortgage, you really have not lost much if you short sale or walk away. The folks that are having trouble are those that put down a good chunk of cash to purchase. When I go through the tax records in Aviano, there are many purchases with less than 20% down and those are the ones the banks are worried about. If you have no stake in a home and it is upside down, what is keeping you there? Aviano is in a great position as it is kept up nicely so it does not look bad and that is huge for keeping property values up. Location and great weather round out our attraction.
From the The Arizona Republic:
Pre-foreclosure Rise Dulls Hopes
by Catherine Reagor - Mar. 3, 2010 12:00 AM
Pre-foreclosures in metropolitan Phoenix climbed in February, dashing hopes that the housing market is starting to recover from the crash.
In January, pre-foreclosures, known as notice-of-trustee sales, fell to their lowest level since late 2008. The significant drop had some housing-market watchers hopeful more lenders were working with borrowers on loan modifications early on and more borrowers could afford their monthly mortgage payments
.
But in February, there were 7,604 pre-foreclosure notices filed by lenders in metro Phoenix, up from the 6,762 in January, the Information Market reports.
Foreclosures did fall last month, to 4,271 from 4,452 in January. But if the many struggling homeowners in pre-foreclosure can't work out loan modification or short-sale deals with their lenders, foreclosures are bound to climb again in the next few months.
Home prices
Prices for both foreclosure homes and regular homes in metro Phoenix are ticking up, according to data from Phoenix-based NetValueCentral Inc.
Interesting trends:
• The price per square foot of a regular-home sale climbed to $106.48 in February, the highest level in seven months. The price per square foot of foreclosure homes sold hovered around $80 last month, which is up from
January's $78 rate.
• During the last three months of 2009, regular-home sales outpaced foreclosure-home sales. Last year, up until October, foreclosure resales had dominated the Valley's housing market. In January of this year, the ratio flipped back to a higher rate of foreclosure homes reselling in the Valley, though the margin between the two types
of sales is much smaller than it was a year earlier.
Federal foreclosure aid
The Arizona Housing Department is waiting to hear how much of the $1.5 billion in additional foreclosure aid, announced by President Barack Obama in Las Vegas a few weeks ago, the state will receive. The U.S. Treasury Department is supposed to announce this Friday what share of the money each of the five states, including Arizona,
hardest hit by foreclosures will get.
The Treasury Department is also expected to give the five states guidelines on how the money can be spent to help homeowners facing foreclosure. One way the Arizona Housing Department would like to spend the money is to continue to fund the state foreclosure hotline at 877-448-1211.
Tags: aviano, desert ridge, phoenix, real estate, villages, fireside, Arizona, short sale, foreclosure, Toll Brothers. Information supplied by MLS and deemed reliable but not guaranteed.
From the The Arizona Republic:
Pre-foreclosure Rise Dulls Hopes
by Catherine Reagor - Mar. 3, 2010 12:00 AM
Pre-foreclosures in metropolitan Phoenix climbed in February, dashing hopes that the housing market is starting to recover from the crash.
In January, pre-foreclosures, known as notice-of-trustee sales, fell to their lowest level since late 2008. The significant drop had some housing-market watchers hopeful more lenders were working with borrowers on loan modifications early on and more borrowers could afford their monthly mortgage payments
.
But in February, there were 7,604 pre-foreclosure notices filed by lenders in metro Phoenix, up from the 6,762 in January, the Information Market reports.
Foreclosures did fall last month, to 4,271 from 4,452 in January. But if the many struggling homeowners in pre-foreclosure can't work out loan modification or short-sale deals with their lenders, foreclosures are bound to climb again in the next few months.
Home prices
Prices for both foreclosure homes and regular homes in metro Phoenix are ticking up, according to data from Phoenix-based NetValueCentral Inc.
Interesting trends:
• The price per square foot of a regular-home sale climbed to $106.48 in February, the highest level in seven months. The price per square foot of foreclosure homes sold hovered around $80 last month, which is up from
January's $78 rate.
• During the last three months of 2009, regular-home sales outpaced foreclosure-home sales. Last year, up until October, foreclosure resales had dominated the Valley's housing market. In January of this year, the ratio flipped back to a higher rate of foreclosure homes reselling in the Valley, though the margin between the two types
of sales is much smaller than it was a year earlier.
Federal foreclosure aid
The Arizona Housing Department is waiting to hear how much of the $1.5 billion in additional foreclosure aid, announced by President Barack Obama in Las Vegas a few weeks ago, the state will receive. The U.S. Treasury Department is supposed to announce this Friday what share of the money each of the five states, including Arizona,
hardest hit by foreclosures will get.
The Treasury Department is also expected to give the five states guidelines on how the money can be spent to help homeowners facing foreclosure. One way the Arizona Housing Department would like to spend the money is to continue to fund the state foreclosure hotline at 877-448-1211.
Tags: aviano, desert ridge, phoenix, real estate, villages, fireside, Arizona, short sale, foreclosure, Toll Brothers. Information supplied by MLS and deemed reliable but not guaranteed.
