House flipping is back…here’s a great article from the Wall Street Journal about some of the things going on in the really devastated areas such as Arizona and Florida.
Foreclosure investing or foreclosure flipping at the Sheriff’s sale.
Cash for Caulkers
December 8, 2009 By Leave a Comment
President Obama is proposing a new stimulus plan. Part of the plan will call for tax credits or rebates for people making their homes more energy efficient. This is supposed to help put idled contractors back to work and help America become more energy efficient.
The New York Times ran this cash for caulkers story on the matter about 3 weeks ago.
Here is the news story about the Obama stimulus #2 to try to create more jobs.
Twin Cities Shadow Inventory Estimated at 42%
December 7, 2009 By Leave a Comment
Amherst Securities recently published some analysis of the shadow inventory that lurks out there in the marketplace.
Macroblog has some insights on the state of housing and how it relates to CPI (Consumer Price Index). One of the things worth nothing is the continual and precipitous decline in rents. The article has an excellent graph showing the CPI as well as the trend in rents which apparently makes up the largest component of the CPI.
Plymouth, MN Pre-Foreclosures – 24 Notices of Default November 2009
December 6, 2009 By Leave a Comment
There were 24 pre-foreclosure Notices of Default issued for property owners in Plymouth, MN for the month of November. All the properties seem to be in a fairly tight range in the $200-$300k range.
Visit Plymouth Bank Owned to request this list or to be notified of other pre-foreclosures in Plymouth, MN.
Home Remodeling Sees an Uptick
December 6, 2009 By Leave a Comment
CNNMoney is reporting that more people are deciding to fix up their homes and stay instead of trying to move up. They are doing so because they can’t afford to move – either due in part to the overall transaction costs as well as their loss of equity on their current home.
October 2008 saw an 8.7% increase in home remodeling expenditures compared to September.
Foreclosure Deals…Buyer Beware – New York Times
December 6, 2009 By Leave a Comment
The New York Times recently published an excellent article for those considering buying bank owned property. Tara Siegel Bernard of the New York Times is to be commended for writing a thorough and straight forward piece on the pros and cons of buying bank owned homes. She also briefly touches on the challenges with short sales.
Thanks Tara!
Google Real Estate Index
December 5, 2009 By Leave a Comment
Google is tracking the major industries by the search interest. Check out the Google Real Estate Index. I will provide this in my links section on the right.
U.S. Dollar Turnaround?
December 5, 2009 By Leave a Comment
I know this goes against just about everything one hears on talk radio, CNBC or reads in the newspapers, but could the U.S. Dollar actually be starting a turn and heading higher? ZeroHedge has a good chart and commentary on the U.S. Dollar. I’m sure I’m wrong since the whole world assumes the Dollar is going to crash and are basically short the U.S. Dollar.
I am not happy with all the crazy spending that the Obama Adminstration is doing, but I believe in the American people and in the ingenuity of the American entrepreneur to figure out how to innovate and successfully operate even in this very challenging climate.
Of course, if the U.S. Dollar heads higher, you can kiss 4.625% mortgages good-bye.
Stop Paying Your Mortgage…Wreck Your Credit…But Might You Be Better Off?
December 5, 2009 By 1 Comment
The Associated Press has an interesting story where they quote a University of Arizona Law Professor, Brent White who is quoted as saying “Millions of Americans would be better off financially if they did walk away.” The article further mentions that Professor White just published a paper entitled, “Underwater and Not Walking Away: Shame, Fear, and the Social Management of the Housing Crisis.”
There are millions of Americans who have a very tough decision in front of them. Hundreds of thousands are trying to modify their mortgages through the Federal Government program, but 27% are already behind on their modified payment plans.
We are certainly culturally conditioned to want to do everything we can to hang on to our homes, but in this economy and given the decline in home prices, many people will not be able to ride it out. If that’s the case, make sure you know your options. You may want to talk with an attorney or your CPA. There are also non-profits set up to give you advice such as the Minnesota Home Ownership Center. You may also want to contact an experienced distress sales expert such as those who have gone through their CDPE (Certified Distressed Property Expert training) like I have along with about 13,000 other agents across the country. We may be able to help you with your options to avoid foreclosure.
Hennepin County Foreclosures and Pre-Foreclosures: 733 Notices of Default for November, 2009
December 5, 2009 By Leave a Comment
There were unofficially 733 NODs (Notices of Default) issued in Hennepin County. Estimated values of these properties ranged from $40,000 to $3,000,000. One doesn’t know if 733 is a lot or a little, but consider the following for the Hennepin County real estate market:
Number of Properties Sold in November 2009: 1,377
Number of New Listings in November 2009: 1,348
Number of New Listings in November 2009 that were Bank Owned: 148
Number of New Listings in November 2009 that were Short Sales: 167
So, out of 1,348 new listings for the month of November in Hennepin County, there were 315 that were either bank owned or short sales. That’s a ratio of 23.4% of the listing inventory.
For the month of November we had more than 2x as many NODs compared to the distress sales listed. Most of these NODs will be on the market, on the MLS, come next May/June. (It should be noted that there is some duplication in these lists so it’s not exact. For example, some of the 733 NODs are actually listed already as a short sale so it may not quite be a 2x ratio).
If you want to search the Hennepin County Sheriff’s Foreclosure web site you can view the properties that have already had the Sheriff’s sale. Those properties are “in foreclosure” and are in the redemption period.
If you are interested in finding a great deal and would like to receive notification of these bank deals as well as pre-foreclosure properties, please sign up at DistressSalesTC.com.
Educate yourself about buying a foreclosure. Visit How To Buy Twin Cities Foreclosures for your free report.