Are there signs of the foreclosure market getting back to normal
Foreclosures have had a stronghold on the market for the past year in the Birmingham AL. area. Coupled with the media hype that you buy one for less than 50 cents on the dollar and the paid advertisements on TV that lure you in to buy their lists it has made selling a traditional resale tough. Everyone including myself wants a deal and I will tell you that on occasion, you can find one. The truth however is that what is really a deal? Foreclosures carry with them addendums that no 2 lawyers would probably never have the same opinion on the meaning, most have repairs that must be done before they are to be lived in which limits the financing available to purchase them, and last the former owners were forced out of their home which makes you wonder just how much care was given to the home those past few months. If the home is move in ready, which is rare, the banks know that also and list the price close to market value. Lets remember also that most foreclosures have very little equity in them which forces the bank to lose money at market value after legal fees to foreclose, no payment over the past 6 months, and fees associated with getting the home sold. As a member of the Realtors For Life Team we believe that sharing the truth about what is a deal and what is not is the way to go. If you need to know what we feel is a good deal and what is not contact us at www.realtorsforlifeteam.com and we will be happy to answer them. We have top of the line technology and want to share it.
Listed below are some statistics gathered from the Birmingham MLS. The are deemed reliable but not guaranteed by the MLS or us as I rely on their info. I am sure however it gives us a good indication of the foreclosure market in the area.
Foreclosures represent 33.2% of the homes sold in Metro Birmingham this year.
Foreclosures represent 8.2% of the active homes in the area.
There are currently 2.56 months of foreclosure inventory on the ground which means that if no new foreclosures come on the market it would take us roughly 2.5 months to sell out of inventory.
There are currently 14.3 months of resale and new inventory on the ground in the Birmingham Metro area.
This is one of many reports we are able to send out. Please contact us for your specialized report or if you would like to know what your home might be worth in this new age of home sales.
Doug McAnally
www.RealtorsForLifeTeam.com