jason morris

Atlanta Pre-Foreclosures and Auctions What are Pre-Foreclosures or pending Foreclosures? These are properties possessing a mortgage that's now in default. Many of these properties will be sold at an auction or foreclosed on by the bank. How does a property get to this stage? George is a non-judicial foreclosure state suggesting lenders don't have to get a judgement to foreclose on a property. If the borrower does not pay the bank they may declare the safety Deed in default. To enforce default in Georgia the lender must make a written demand to the borrower and may accelerate the debt. After the lender has declared default they must follow the approved notice and offer the sale of the property to the general public. Why should you consider a foreclosure? Owners facing foreclosure are commonly terribly keen to sell their properties. With repos rising many banks are willing to barter the asking price substantially in order that they don't have to attract the expenses of maintaining a huge Reo or Bank owned inventory. Small_banner Am I able to get a Bargin by buying at an Atlanta Foreclosure Auction? Of course! Banks and owners both are on the lookout for solutions to avoid the foreclosure and are prepared to barter. Is this a fun time to buy Atlanta Foreclosures? The latest expansion in repos has increased the quantity of opportunities available and the inventory when it comes to REO and BANK. Banks are far more agreeable when it comes to discounting the current loan amounts. They're even in some cases offering special financing motivations to buy one of their repos. How is purchasing a pending Foreclosure different than buying a regular home for sale? Besides the time restrictions get a pre-foreclosure is not different than any other property transaction. The owners have full rights to sell their property and are not limited by the outstanding foreclosure standing. Should You wait until the auction to buy a foreclosure? This is a call that is up to you. The sale provides a strategy to buy a property without the need to negotiate with the home owner. The consumer at the sale rarely has time to inspect or know the true condition of the property before the sale. Atlanta Foreclosures Atlanta Apartments for rent

Here the last month or so I have made some very intresting observations when looking at our local MLS. The most important one is if you really look, even though (as of writing this post) we have over 18,700 active listing in our MLS, there really isn't much on the market!

Now you are probably thinking I'm crazy, with over 18,000 units on the market there is a lot of Myrtle Beach real estate to choose from. Well what I'm talking about is properties that are sell-able.

this is what I mean by sell-able

1. You can put in a offer and close in 30 to 45 days or less (this takes out short sales!)

2. The property is not grossly over-priced (meaning not more than 10% higher than the properties around it)

3. A buyer can buy the home with no restrictions (no leases ect in place) and move in right after closing if they choose.

It seems that many properties including Myrtle Beach Foreclosures are still selling strong and are often getting multiple offers.

Myrtle Beach Creative financing

The real estate market has slowed down a good bit in the last few months. What is becoming more and more common in our market is creative financing.

The big reason this has become more common is because there area lot of Myrtle Beach real estate owners that need to get out of their property. The banks have tightened their lending standards so much it has slowed down the buying process immensely. As a result property owners have to be more creative. This has included a lot of owner financing on Myrtle Beach condos for sale and a lot of lease options.

When you are buying a property there are a lot of opportunities and pros to purchasing this way. When buying with owner financing, credit standards may not be as strict because it is up to the owners as to what they are willing to accept. Many owners may not even be interested in looking at your credit before deciding if they want to owner finance their property to you.

Also down payment requirements may not be much at all. We have seen many owners require only a couple months' payments.

Now when purchasing a home with owner financing you will still want to go through the same attorney process. You will want to have a lawyer look over all of your paperwork and a title company to do a title search.

You will want to make sure there are no title issues etc that may prevent you from refinancing or selling your property later on.

Many properties that are owner financed are often sold on what is called a "land Contract". A land contract basically is an agreement where at a certain point title is transferred to the buyer.

Often times many Myrtle Beach rentals are only rentals because the owner is not able to sell them. So these properties are great to make offers for lease options and owner financing.

This is something intresting I have noticed over the last week or so that is happening in our market.

First of all there is nothing on the market!!

We are getting a lot of buyers contacting us through our network of Myrtle Beach real Estate websites. An unuseual amount of these people seem to be cash buyers. many have owned homes in the north east for years that are mostly equity, they are tired of waiting to buy, so they are dumping and wanting to buy here in Myrtle Beach while it is still cheap.

This for us seems to be a common scenario.

A lot of these people are wanting oceanfront Condos in Myrtle Beach.

Now I started doing searches in our MLS and on many of the searches I would start out with around 100 or so properties coming up when I put in their criteria. The I would throw out the grossly over priced properties and throw out the short sales. (I hate sending people a ton of short sales knowing the chances are slim they will be able to buy one).

Once I weeded out short sales and grossly over price properties, I would end up with about 5 to 10 units that were actually priced right and had no crazy strings attached.

This hasnt just happened to me one time, this is happening several times a day. Most of these people are not looking for any crazy low prices or weird buying scenarios.

Could it be that our market only has about 5 to 10% saleable properties?

This would mean our market only has about 3 to 4 months of available SELLABLE inventory.

I know with Myrtle Beach rentals in the Murrells inlet area - There pretty much is nothing to rent!

A few years ago, Myrtle Beach Oceanfront condos were definatly the hottest thing around. Price climbed like crazy!!

now at the same time we did have loose lending requirements and a white hot real estate market, but still what happened?

well it was about 4 maybe 5 years ago you could purchase a Myrtle Beach oceanfront condo and get it financed 95% LTV without any problem at all. Reservations for Myrtle Beach Condos were cheap, you could get in for a few thousand dollars and lock in your contract with 10% or less down.

Looking back those days were pretty crazy.

Now days it is almost the exact opposite. So what happened to the condo market?

The biggest thing is condos in Myrtle Beach were over valued. To buy a condo and have it break even with vacation rentals you would have to put 50% or more down!. Plus financing went to only 80% LTV, then most banks started considering them all Condo-tels so financing went to 65% LTV. Then it actually kind of went away for a little while it seemed. Most of these loans could not be sold on the secondary market.

On-top of it on-site vacation management companies charged anywhere between 40 and 60% of the gross rental income.

The foreclosure rate then skyrocketed because most people bought thinking these Myrtle Beach rentals would carry most of the mortgage or under-estimating the expenses. Most people also bought thinking they could flip for a quick profit.

Now Myrtle Beach Condo foreclosures are dominating the ocean front market. If you are a seller not only are you competing with other condos and a large inventory, you are competing with the banks who are constantly driving the price down trying to liquidate the inventory they are taking back.

I don't think we will see the price stabalize or go back up until foreclosures slow down and we see the banks clear off a lot of their inventory. Myrtle Beach rentals will always be popular but there is also a threshold for rental rates. However with price decreasing we are seeing the price coming back more inline with the rental rates.