The Latest Foreclosure News – Or What’s Happening to NJ Foreclosures?
Essentially, nothing newsworthy is happening on the foreclosure front in the New Jersey Market. In the latest from the news media the headlines read Nation’s foreclosure plague widens. Well this can’t be good news for those of us in the real estate marketing business. this will bring out all of those buyers that think that the market in New Jersey is a prime market to get a home for almost nothing. That the home owners will be dropping to their knees in glee in being able to sell their home for almost nothing. To be happy that these buyers will be able to brag to their friends about the great deal they made.
Well, here’s a reality check. Not in New Jersey. If you read the whole article and not just the headline, you’ll soon learn that if you are looking for such leverage in the State of New Jersey that you’re living in the wrong state. New Jersey isn’t even in the Top 5 of states with high foreclosure rates. Sorry. Houses are still being sold by provide owners who are looking to sell their homes at the market rate. Their neighborhoods have NOT been devistated by a high number of homes having been foreclosed on and then being sold by banks and mortgage lenders at lower then prevelant market prices, thus causing a further decrease in home prices. More and more home owners are either withdrawing their homes form the market or allowing their home’s listing agreement to expire and not
relisting. They’d rather do this then sell their home for either less then what they owe on it or leave themselves no money for their next home purchase.
One of the key factors that many of the buyers seem to forget is that the home owners who are not financially distressed will need funds from the sale of their current home to purchase the next one. If they don’t get enough money for their next purchase, they won’t be selling their current home. In the vast majority of cases in New Jersey, that is the way it is…simple and straightforward.
So, what states are leading in foreclosures? Which are the Top 5 states? Where can you have a large amount of choices of foreclosure homes? Well, pack up you bags! You’re going to have to move to one of the following states -
- Nevada – has the highest number of foreclosure homes with 1 out of 106 homes.
- California – is second with 1 out of 182 homes.
- Florida – is right behind California with 1 out of 186 homes.
- Arizona – is next with 1 out of 195 homes.
- Ohio – is a distant 5th at 1 out of 375.
Notice that New Jersey is not even listed? According to market research information from the NJ Association of Realtors, while other states have seen home prices plummet, homes in New Jersey have generally maintained their value. Specifically, as an example, Atlantic City, NJ homes sales prices were $264,600 in the first quarter of 2007 while they were $277,400 in the first quarter of 2008, this is a +4.8 increase from a year ago. According to the article from CNN, foreclosures drive prices down. Overall, the market areas where we conduct the majority of our business (Camden, Gloucester, and Salem Counties) is still strong, as shown on the chart below.
Click Image to Enlarge
If you’re a first time home buyer, work with us and we work to eliminate the possibility that you could end up in the same situation as the current home owners facing foreclosure. If you are a current home owner who is financially distressed and need help and advice with your home, call us…we’ve been where you are and have learned much through trial and error. We work so that YOU don’t make the same mistakes we did.
Terry Iwaniw
REALTOR Associate
RE/MAX Home Team
http://www.snewjerseyhomes.com/
http://www.i-teamhomes.com/
http://www.terryi.com/
609-417-1086
Stumble It!