You will find some great deals at Stockton, CA foreclosed auctions because properties are sold at deep discounts. If you are looking for bargains, then Stockton foreclosure property auctions should be one of the primary places to hunt for bargains in the Stockton area. Because properties are sold at below market prices, there is a lot of competition for foreclosure properties these days. If you are serious about finding good deals, you should check the local county courthouse records to find out when the auctions are taking place as well as the Internet and local newspapers. Get your funds together, because you will need to pay cash if you are selected as the lucky bidder.
Things to Keep in Mind
Auction properties may still have former owners or tenants residing at them that the new owner must evict. The properties usually need repairs because the former owners have not had the funds to maintain them and the banks sell them in “as is” condition. You won’t be able to obtain title insurance. There may be liens that you are responsible to pay. The properties are available to inspect only on the assigned inspection dates so you need to have your inspector lined up for that date or you will miss you inspection opportunities.
Foreclosure Opportunities
To give you an idea of how many homes were in foreclosure in Stockton between November 10, 2010 and January 11, 2011, Trulia reported that there were 4,484 homes in some stage of foreclosure during that period. The average price per sq. foot for a home in Stockton is $84.00, which represents a decrease from a year ago of 2.3%. The median sales price was $130,000 during the period November 10, through January 11, 2011, which represented an increase of 4% compared to the same time a year ago. The number of home sales decreased by 19%. The average listing price for the week ending February 9, 2011 was $150,742. Hot neighborhoods include Valley Oak and Weston Ranch, where average list prices are $134,676 and $144,116, respectively.
Given the large number of homes in some stage of foreclosure, there are many opportunities to purchase Stockton foreclosed houses either at auction or from lenders through their REO inventory listed with local Stockton Realtors. You can pretty much find homes in most Stockton neighborhoods offered at auctions or advertised in the MLS. There are also good opportunities in short sales that are both listed in the MLS and not on the market yet. If you have time to wait for the short sale to be approved, homes are sold at under market value and are in better condition than foreclosures because they usually have a tenant or the owner still residing there.
REO’s
The REO inventory is quite high as well, and banks want to get the homes off their books so you should contact a local Stockton Realtor to assist you with your REO search. The good thing about buying an REO is you can close quickly because the bank already owns the home. You don’t need cash to purchase an REO, but it gives you an edge over other buyers that need to obtain financing because banks like to close their REO transactions fast. However, if you do need to obtain a mortgage, you can still buy an REO. Get pre-qualified first before you make an offer because the bank will require a letter stating that you are qualified. They want to make sure you can close the deal.
Stockton offers buyers and investors great deals on foreclosed auction homes, REO’s, short sales and resale homes. Sellers are motivated and are willing to negotiate on their prices. Interest rates are still low, and there is plenty of inventory so now is a good time to find Stockton, CA cheap homes.
