Market Conditions in 30317>Question Details

Sean Casey,  in 30317

Has anyone else noticed a recent dramatic decline in the number of bank-owned renovation prospects in Kirkwood, Eastlake and Edgwood?

Asked by Sean Casey, 30317 Thu Aug 12, 2010

As someone who extensively works with renovators- and who has recently begun purchasing and renovating these properties myself, I review MLS and other data for "raw-material" properties almost daily. It seems recently that REO activity is moving more toward move-in-ready (or near move-in-ready) homes.

I know 30317 was the #1 zip code in 2009 for home sale price gains in the metro area with a whopping 1% year over year gain- while many zip codes experienced double digit losses. I cant help but hope that this development might indicate a light at the end of the tunnel for our area....hopefully it is not a train. Curious for your thoughts and insights on this.

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I agree with Scott, I think more are coming as well. I read recent online news articles about projections for a second wave of ARM related residential foreclosures, and unemployment rising to 12% and even higher in certain regions - I hate to say it, but that looks like train to me. There will always be transactions, but I dont think we are on the upswing yet. With the governments mass expenditures, I think consumers are concerned about the future consequences of the massive debt run up and in a hold pattern to see just what is going to happen next.

Just my two cents.
0 votes Thank Flag Link Thu Aug 12, 2010
Seems to be a lot of vacant homes that must be owned by someone! But in those areas you mentioned there are fewer available homes to buy and renovate that perhaps a year ago or two. It is more difficult to get investors interested if there is little to do and they don't get the deep discounts on the pricing.

Maybe that is the strategy - trying to get real homebuyers to purchase instead of of investors?? Might be a way to get the areas more stable that filled with rental, or hold for flip. Time will tell.
Web Reference: http://www.TheAHC.net
0 votes Thank Flag Link Thu Aug 26, 2010
The banks are doing "cash of Keys" to get the homes back in better condition is part of what you are seeing. My company, Fidelity Bank Mortgage has five great renovation loans and I am hearing we are almost the only ones doing the renovation loans. The banks may have decided if no one could get a renovation loan, to change their plan. I sure hope not as I have such great renovation loans.

Sally W. Hamby
Fidelity Bank Mortgage
404 644 7696
0 votes Thank Flag Link Thu Aug 12, 2010
I think there are more coming. Last month saw a recent record of foreclosures.
0 votes Thank Flag Link Thu Aug 12, 2010
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