A new quarterly record for bank repossessions has recently been reported by Bank Foreclosures Sale—a web-based source for lists of bank owned homes and other foreclosure information. According to their recent report, bank foreclosures were up 5% in this year’s second quarter. The number of bank repossessions jumped 38% from last year’s second quarter—a new record.
Banks look to sell off their possessions in order to make back the money lost due to unpaid mortgages. Analysts seem to agree this may lead to lower prices on bank foreclosures; as well as bank owned properties—good news for homebuyers and investors alike.
Market Analyst for Bank Foreclosures Sale, Simon Campbell said, “Due to mortgage refinancing and loan modification programs, we’re not seeing as many new foreclosure properties come on to the market right now…But what we are seeing is homes that have been in foreclosure for a while are being repossessed by banks trying to work through thousands and thousands of defaulted loans.”
Campbell went on to suggest, “With a big surplus, banks will be looking to unload properties, so it’s a good chance to find a low and competitive price.” Bank Foreclosures Sale reported in the second quarter, California led the nation in repossessed home filings with more than 45,700.
Florida had 32,860 repossessed properties. Additionally, Michigan, Arizona, Georgia, Illinois and Nevada all had high numbers of repo-homes in the second quarter. The numbers are, according to projections, going to rise in these states. Both the housing market and the nation’s economy can be helped by the purchase and sale of these repo-homes.