Where Housing Bargains May Still Lurk
July 15, 2013
Foreclosures have fallen by 35 percent nationwide in the last year, according to data from RealtyTrac. However, where such proceedings must first get approved by the courts—which are known for having a lengthy process—foreclosures have climbed 34 percent overall. In New Jersey foreclosures have soared 103 percent, followed by Florida (up 100 percent), Maryland (up 94 percent), New York (up 66 percent), and Illinois (up 65 percent), according to RealtyTrac.
In some states, a glut of foreclosures remain, and foreclosures tend to sell at discounts. Many of these properties will likely enter the market in the next six to 12 months, says Daren Blomquist, vice president of RealtyTrac.
“If you missed the bottom of the housing market, this might be the last chance to get a bargain on one of these foreclosure homes,” he says.
However, finding big housing bargains these days has become trickier “because there’s been such a recovery,” says Bradley Hunter, chief economist of Metro Study, a Houston-based housing market research firm. But he says those willing to choose developments that were built in the late part of the housing boom that are furthest from urban hubs and schools may find the biggest deals. “If you’re willing to make a bit of a commute, you may be able to save more money. In 2005, the motto for those looking for a new home was ‘drive 'til you qualify.’”
Source: “Where home prices haven’t hit bottom,” The Wall Street Journal (July 14, 2013)
Updated: June 22, 2018