Foreclosures In CA Firestorm Area
I normally track preforeclosures but some are now in the CA Firestorm area.
Question: Should I back off since FEMA may now help them with low interest loans? or Still persue them,
I do not want to have even the inkling that I am out to do take advantage of them (because I am not) during this horrific times. Do you think the distressed homeowners will rebuild or clean up their properties? Does any one have any thoughts or personal knowledge on how to handle this sensitive issue???
[addsig]
Be on the scene - If possible - and tell your story, be honest, and do not prey to find the good deal by leaving the owner with nothing on the table. As for FEMA, and the insurance companies the economy is so soft that these monies may be used to pay off consumer debt or just enough to cover the balance of the mortgage.
[addsig]
I imagine that there will be a moratorium on foreclosures in those areas or the lenders will be urged by FNMA, VA, and HUD to exercise forebearance
I just read an article in yesterdays paper that states 29% of the people in that area live in poverty and that another 7% are just slightly above the level. In fact they were commenting on the fact that many people didnt have much either before or after the fires, because they had little or no equity in their homes and not many valuable possessions. In theory the fire didnt change much this was a distressed area both before and after.
Well, I'm assuming you are referring to the Southern California fires when you mention the 29% living in poverty. I live in San Diego about a mile from the fire line and there is no way 29% of us are in poverty. Housing values are crazy here. there is nothing under $300k in this area and that is in the "ghetto" part of town. Most homes that burned were in the $500k-$2mil range. Far from poverty level living. I don't know what the media is portraying but that particular author definitely has their facts wrong. Which, of course, wouldn't be the first time.
Foreclosures are still happening in SoCal, I've been to a few San Bernardino auctions since the fires. I took a week off during the worst of it because I figured they might stall some of the auctions, most of them pushed out a month. But activity has picked up again. If you didn't lose your home to fire, your Turstee's Sale is still on as scheduled. Of course, finding a deal is real tough right now, too many newbies bidding up beyond 80% of value.
In fact, I've seen properties go for FULL MARKET VALUE at a trustee's sale....what are these people ("investors"..yeah right) thinking? There's no profit in a house bid up to 90%+ of FMV when you add in fixup costs and resale costs, not to mention holding costs. The market is a bear for foreclosures right now. Waiting for the big flip and downward turn in the industry, that's when the feeding frenzy will start. Just my observations. -MakoShark