San Diego, CA (PRWEB) April 04, 2014
The foreclosed housing inventory has been shrinking of late, and while this is good for the housing market as a whole, it can be a disadvantage for those who are looking to purchase cheap housing this year. A new article from LoanLove.com takes a look at foreclosure predictions for 2014 and explains how the dwindling foreclosure inventory will impact the housing market. The team at LoanLove.com is devoted to help empower both first time and experienced homeowners with valuable resources, first-class knowledge and connections to top-rated industry professionals and has the mission of helping consumers and borrowers to obtain the latest information on mortgage lending news, the real estate market and the U.S. financial landscape in order to help them obtain a home loan that they will love. The new article continues to keep home loan borrowers up to date so that they can best plan for their home loan goals this year.
The new article, titled “Foreclosure Forecast For 2014: Anticipated Impact On Housing Market”, says, “The foreclosure forecast for 2014 reflects the housing market’s continued slow but steady crawl toward recovery, with fewer homes expected to end up in foreclosure or short sale situations. As 2013 drew to a close, real estate market forecasters from coast to coast were making bold predictions of an anticipated marked decrease in distressed properties. The first couple of months of 2014 would seem to support those assumptions. U.S. foreclosure filings in February dropped to the lowest level experienced in over seven years, a figure 10 percent lower than the month prior. Foreclosure numbers have continued to follow a downward trend since peaking in 2010 at 1.05 million.”
But what do all these numbers mean for those who are looking for a home this year? Loan Love explains, “Despite the positive signs, it is still too early in the game to consider the housing market back to “normal,” however you might define “normal” these days. But the market is clearly continuing its steady pace in the right direction as appreciation moderates, negative equity situations begin to right themselves, and foreclosures slow.” However, while the decrease in foreclosures is good news, it can also be bad news for those who were planning to take advantage of the foreclosure market to purchase a very affordable home. The fact is that distressed properties are usually sold far below market price – sometimes up to 30%.
Loan Love explains that while distressed properties are still contributing to the national supply of available homes for sale, foreclosure filings are clearly falling. This is because improvements in the economy and stricter loan regulations have resulted in fewer homeowners losing their homes and more lenders agreeing to short sales. As a result home prices are rising – but so is equity. The article says,
“For prospective home buyers hoping to scoop up a deal, the reality is the once robust foreclose market has greatly slowed, a trend expected to continue. But that doesn’t mean there still aren’t opportunities available in foreclosure and short sales. Despite national foreclosure figures hitting historic lows, 10 states still saw foreclosures increase last year:
- Maine
- Maryland
- Arkansas
- Vermont
- New Jersey
- New York
- Connecticut
- Delaware
- Washington
- Pennsylvania
In addition, scheduled foreclosure auctions in judicial process states reportedly reached the highest levels in three years.”
For more information on foreclosure predictions for 2014, click here to read the full article at LoanLove.com.