Southern California seems to be hit the hardest by this flood of foreclosures. Foreclosures seem to be dominating the housing sales in the market today. Investors, or people who have extra money to spend, are taking advantage of these greatly discounted homes.
Although you the buyers are saving money on the home, the seller may not be so fortunate. Its always tough to purchase a foreclosure because really you are benefiting from someone else’s misfortune. You want to be well aware of this if dealing with a home that is in pre-foreclosure, since you will be dealing directly with the seller during this transaction and a lot of times they are very emotional and distressed.
Southern California foreclosures have become very tempting for many individuals and investors. But just because the house is priced so low, doesn’t mean you are getting a bargain.
If you are looking to buy a foreclosure, you won’t have a hard time finding one today. I was recently pulling up property and I could not believe the amount of the listings on there were foreclosed homes. It seemed that there were no more traditional sales out there anymore. Are that many people really being forced to sell?
A lot of agents will probably advise you to seek professional help if you are in the market for a foreclosure. Just because the price is right, doesn’t mean you should buy it. You want to make sure the house doesn’t need a lot of work and in most foreclosure cases they do. Are you going to end up spending more money on repairs than on the actual home itself? As I see all of these homes being sold by the banks, I can’t help but wonder if we’re going to see improvements in the housing market anytime soon.
It amazes me that there are all of these First time buyer credits that are being offered, in an attempt to stimulate the economy, but what about all of these people who are losing their homes or who have already lost them. Shouldn’t there be something offered to help them save their homes? I mean, in some cases the lender may help you to make payment arrangements but most people aren’t even aware of that because the lenders fail to advise them on what their options are.
As long as Southern California continues to be flooded with all of these foreclosures, the prices will continue to drop on traditional sales as well. Not leaving any hope for the economy getting better anytime soon. The housing market has a huge impact on the economy in general, and without some relief in the foreclosure department we may be drowning in this foreclosure flood for quite some time, or unless the government can help these borrowers, in some way, to save their homes.
If you find that you are in a position where you cannot pay your mortgage, contact your lender today and see what options that can offer you that may help you save your home.