Foreclosure 101

Foreclosures notices for April 2011 in the Metro Atlanta market dropped by 28% from March 2011 and 18% from April 2010. What does this mean for the foreclosure market here in Atlanta? Well ... as much as we'd like this to mean foreclosures have seen their peak, it's more reasonable to assume the precipitous drop is due to recent changes in lender requirements.

Pervasive problems with improper paperwork led many lenders to slow down the filing process. They're now taking extra steps before advertising properties for foreclosure; making certain to dot all the "i's" and cross all the "t's". Those extra steps, though necessary to protect the legal interests of big banks, are causing homes to sit longer before hitting the market as REOs (real estate…

Foreclosures notices for March 2011 in the Metro Atlanta market dipped slightly suggesting a possibly peak in the activity across the 13 county area and a glimmer of hope for the struggling market. The March total fell to 10,779 - a .6 percent drop from the February 2011 tally and a significant 14 percent dip from March 2010 numbers.

Foreclosure trend upward during the spring and summer months. In fact March 2010 saw a 22 percent rise from February 2010 -- so this decline, though welcomes, comes unexpectedly.

Even with the surprise drop in notices file this past month ... we're still 2 percent ahead of last…

1 in 7 mortgages are not being paid

25% of all U.S. properties are underwater (near 40% in the state of GA)

The current unemployment rate is 9.2%

1 in every 300 households in Georgia received a foreclosure notice in February 2011

As a professional real estate consultant in this market I have resources to help if you're faced with financial distress as a result of these tough economic times we've encountered. Don't wait until it's too late to take action. Contact me today at (404) 270 9374.

The recent news of an improving economy and a falling unemployment rate has  little to do with the Atlanta housing market as foreclosure notices continue at a break neck pace.  February was a record breaking month posting a 7 percent increase over January and a 5 percent increase from February 2010.

Just two months into the year and it's clear 2011 is going to be one of the record books.  According to Equity Depot (a foreclosure tracking firm) -- notices increased 13 percent from the same time in 2010, which was also a record year.

Here's why this is still happening and isn't likely to change any time soon: The confluence of factors that cause an extremely high foreclosure rate still exist.   Decreasing real estate values, low buyer demand,…

From David Leonhardt at the NY Times Economix: Seattle’s Foreseeable Housing Bust. This is a follow-up to David Streitfeld article: Housing Crash Is Hitting Cities Thought to Be Stable

Leonhardt writes:

I've recently read a ton of news articles and heard a number of folks on news shows talking about why it may not be a good idea for you to buy a home right now. I say FALSE, and so do many who understand not just the financial gain found in home ownership but the quality of life and pride that can be gained as well. A recent article written by Ron Lieber in the NY Times (http://www.nytimes.com/2010/08/28/your-money/mortgages/28money.html) mentions a few reasons why buying is still a great idea. I'll touch on his thoughts and then share a few of my own. Its worth noting that I bought my first home in March, 2010 at the age of 26.

Record Low prices combined with Record Low Interest Rates

Have you heard that is a buyers market? If you have a stable…

The majority of today's Home Buyers are well aware of the discounts available in the foreclosure market (bank owned homes for sale). Experience shows the best deals are bank owned homes (REOs).  And in the current market many banks are looking to get the "inventory" off their books.  In most cases, foreclosures and bank owned property represent the very best deals in the market with discounts of 20, 30, even 40 and 50% off the previous sales price. Here's the caveat: if you're a buyer wanting to take advantage of these once in a lifetime prices ...  it's important to understand how to navigate the chaotic and fast paced market.  Because if you don' move fast and with confidence, someone else will. 

Here are a few basics to get you started:

The ASKING…

It's a testament to the quality of 60 Minutes that nearly 2 years after it was first recorded in December of 2008 this 12 minute prediction of what will come to pass has ... well ... come to pass.

We're entering the 4th quarter of 2010 and we are, without a doubt, heading right into the second wave of the Atlanta Foreclosure crisis.

David Streitfeld, columnist with the NY Times says Biggest Defaulters on Mortgages Are the Rich

First... what defines "rich"? Because as a witness to the luxury real estate market in Atlanta between 2001 and 2007 I can assure you that being rich was not a…

The Atlanta Foreclosure market is getting worse.

March 2010 sets a new record with 12,568 foreclosure notices being filed this month.  This tops the previous record of 12,318 set in September of 2009.

Gwinnett topped the list of most foreclosure filings per county with 2,648.  Fulton was a close second with 2,455 - followed by Deklab County in 3rd with 2,046, Cobb County with 1,430 and Clayton with 1,012.

Wow.