Here is a list of the sold properties for March 2010 taken from Multiple Listing service. Four of these properties were foreclosures and five of the eight were sold for less than $100,000.
April sales are shaping up in a similar fashion. In a similar fashion I mean the foreclosures and distressed properties are selling. Of the four sales listed for April up to this point, three are foreclosures and one was a distressed sale heading into foreclosure.
Sadly, even more foreclosures are coming on the market. According to RealtyTrac there were more foreclosures in the first quarter of 2010 than there have since they have been tracking-since 2005. Leader states in foreclosures are California, Florida, Arizona and Nevada for the first quarter. Why so many now? The banks are finally getting through the glut of processing. RealtyTrac reports that there will be approximately one million foreclosures in 2010 and around four million fillings for foreclosures this year.
Two reasons for increased foreclosures: high unemployment and declining values making owners "underwater" owing more than their home's market value. This is really causing a domino effect as the foreclosures drag down market values more people will become "underwater".
Once this excess foreclosure inventory is gone, the real estate markets will stabilize.
