That seems to be the question that is constantly being asked by agents and buyers. I would like to offer some speculation. The word on the street is everything has come to a grinding hault because of the the governments moratorium on foreclosures. Now that the moratorium has been lifted, its back to business. The idea that the so called "tidal wave" would hit last November was a bit over done. In reality it makes sense when looking at the time line, the "tidal wave" may still be on its way but not until the 3rd quarter of this year.
Looking at the time line this is what I see. The moratorium ended last November and at that point the banks were still behind working on the loan modifications. Now that many are not working out the foreclosure process has started. As that increases so does the demand for the Sheriff sale. That will put the courts behind further slowing the process. In Minnesota there is a 6 month redemption period after the Sheriff sale. At the end of that time the home is fully foreclosed on. From that point it can take a bank anywhere from a week to several months to get that home on the market. Add all the these delays up and you are now looking at July as the possible starting point were we will start to see an increase in foreclosures hit the market.
For a buy the upside of missing he $8,000 tax credit will be more homes to choose from and perhaps a really great deal as well. Just something to consider.
As always please consult a real estate attorney with any legal questions you may have and your accountant for any tax questions.
Follow me on facebook - Tom Sommers Edina Realty Twitter - usearealtor
or any of my Web Sites:
www.tomsommers.com
www.allmnhomes.com
www.tomsommers.edinarealty.com
No comments:
Post a Comment