This is Why More Foreclosures Mean It's a Great Time to Buy via @homebidz

This is Why More Foreclosures Mean It’s a Great Time to Buy

According to Mortgage News Daily, the foreclosure rate in the United States is the highest it's been in a long time. Last time this happened, it created great opportunities for those who were ready to buy and eventually drowned the market for most renters. If you're in a position to purchase, it might be a good time.

You can generally get a foreclosure home at a much lower cost than the home that is typically sold at a fair investment price. Homes that would normally sell for $250,000 can go as low as $50,000, depending on how low the banks are willing to go. Read more in How Low can Sales Foreclosures Go?

The Beginner's Guide to Bank Foreclosures contains some great tips to help get you started:
Banks are not real estate firms. They solely offer funding options. This is why you won’t find bank-owned homes as easily as professionally listed ones. Many times, you won’t even see a sign in the front yard advertising the sale. You can acquire lists of these properties from the banks themselves.
According to CBS News, the foreclosure trend is still not over. Here's an excerpt from their findings:

Mark McArdle, the Treasury Department's deputy assistant secretary for financial stability, told CBS MoneyWatch that the Obama administration's efforts to help homeowners played a pivotal role in these improvements to the housing market.

"Treasury has a variety of programs to assist struggling homeowners, with the goal of helping to prevent avoidable foreclosures and stabilize communities," McArdle said. "The Home Affordable Modification Program has helped more than 1.5 million homeowners avoid foreclosure, while the Hardest Hit Fund has assisted more than 250,000 ‎homeowners across participating states."

McArdle acknowledged this effort isn't complete. "While the housing market has recovered in many parts of the country," he said, "several areas and states are still struggling, and we will continue to help homeowners and communities in those places still recovering from the housing crisis."

Foreclosures are still out there, so if you think this might be the opportunity for you, start doing your homework now!

Latest Posts

The Art of Changing Realtors When You Need to via @homebidz

The Art of Changing Realtors When You Need to

First Time Home Buyers Click Here Finding a realtor can be kind of like dating. There are a ton of them, each with their own set of pros and cons, different areas of expertise, etc. So, when you start forming a...
Loans, Fees, and the Real Cost of Owning Your Home via @homebidz

Loans, Fees, and the Real Cost of Owning Your Home

Need a Home Loan? We know this may come as a shock, but that home that’s for sale for $350,000 will actually end up costing about $575,000 over time. How? Between the interest rates, insurance, property tax, and...
Rent to Own vs. Traditional Mortgages via @homebidz

Rent to Own vs. Traditional Mortgages

Need an FHA Loan? It’s no secret that most people seek out rent-to-own home options over traditional mortgages because of credit issues: either their credit is fair or poor or simply just unestablished. Depending...
Why Does My Credit Matter? via @homebidz

Why Does My Credit Matter?

Click Here to Look at Bad Credit Home Loans Honestly, if you have less than perfect credit, you can still potentially buy under a rent to own option, but you still have to get financing at some point, so you'll need to...
Taking the First Step on Your Rent to Own Journey via @homebidz

Taking the First Step on Your Rent to Own Journey

Looking for Rent to Own? When considering a rent to own journey, there certainly are a couple different choices. Each requires the rental property itself, two authorized documents, and then -- sometimes -- an...
Simple Ways to Save for Your Down Payment via @homebidz

Simple Ways to Save for Your Down Payment

Need Family Support? There are a lot of different ways to purchase a home. You can get creative and try owner-financing, or even buying a home at an auction. For the majority of us though, we’re still using banks and...