St Augustine court house will be busy this Month (June 2007) with Foreclosures, the problem is that these homes for the most part are not worth buying.
- Loans / Liens exceed the current market value
- Most home where purchase in 2004, 2005 & 2006 when the real estate market was red hot
For Example if your purchase in a home in 2004 for $350,000 with zero down you may owe over $380,000 by the time this hits the court (Loan Balance & Missed Payments & Attorney fees)
- Current Market Value may be $420,000
- Factor in 93% of the asking price , competition from other homes
- Leave us with a home sold for under $400,000
- now we must deducted closing cost, commissions etc
- leave a Balance of $370,000
- Seller will have to bring cash to the table
For me I see Short Sales & REO as a better approach for purchasing a home at a discount in this current market
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