What's ahead for real estate in 2012?
No one has a crystal ball to see clearly what's in store for the real estate markets in 2012, ,but many things are going on that will have a definite effect.
As agreements are reached between loan servicers and each States Attorney General offices, we can expect more REO properties to reach the market place. In my area, it seems that REO's are becoming scarce. Will they be allowed to flood the market? Who knows?
Short sales are becoming more common. Banks are allowing more underwater sellers to attempt short sales, so it appears that short sale numbers will increase.
The new government inspired loan modification program could help more people stay in their homes, but it also has the potential of only delaying the inevitable foreclosure of a property for an additional 280 days.
The home buying public has been trained to look for bargains. That will continue throughout 2012.
Many of the new REO properties coming on the market in my area at least, have been vacant for over a year, and many of them have been vandalized. This will make it harder to get regular FHA financing due to the amount of repairs needed.
I am excited about the new year ahead. It will be filled with new challenges, and new opportunities, I think I will stock up on Alka Seltzer and Tums.