There are many opportunities to purchased foreclosed homes in Jackson. Government foreclosures and short sale/pre-foreclosures are available. You will find a number of bank repossessed properties in Jackson as well. 18.4% of Mississippi mortgages are delinquent or in foreclosure. According to Realtytrac.com, there were 358 new foreclosure filings in Jackson during May 2010. 1 in every 2,184 houses received a foreclosure filing during May 2010. Year to date foreclosure total is 2,077. There were 32 foreclosure sales for May 2010, and 150 year to date. The average sales price for May was $187,614, and year to date $193,247. Mortgage delinquencies are now affecting borrowers with good credit and fixed rate traditional mortgage. CNN Money Magazine reported recently that 10% of all U.S. loans are delinquent.
Where is the Best Place to Find Bank Repossessed Homes?
If you want to purchase a bank repossessed homes in Jackson, you should start by working with a local Realtor. REO’s and short sales are listed with Realtors. Although some short sales may be for sale by owner. Your Realtor can also help you find government foreclosed houses. Foreclosure auctions are another place to find foreclosed houses. Realtors are not involved with foreclosure auctions because no commissions are paid so you will need to go it on your own. The highest bidder is generally awarded the property at the end of the auction. You must pay cash for foreclosed houses purchased at property auctions.
Other places to find foreclosure listings include:
- Internet websites
- Newspapers
- Signs in neighborhoods
- County courthouse and county recorder records
- Investors and investment clubs
What You Should Know?
When you buy foreclosed homes, there are some things you should know:
- Most are not in good condition and need repairs.
- Properties are sold in an “as is” condition.
- Short sales and REO’s have the least risk because you can buy title insurance, and you can inspect these properties.
- Foreclosure properties purchased at auctions have more risk because you generally do not get to inspect them, and you don’t get title insurance. Also you are responsible for getting rid of any former owners or tenants.
- Some states allow former owners to redeem their property after a foreclosure auction sale, so you would lose your investment. Be sure to check your state laws first before you decide to purchase property at property auctions.
- Foreclosed homes are sold at substantial discounts.
If you are in the market for a good investment, then buying foreclosed homes is one of the best investments you can make right now. You get property with built in equity. There is a high demand for affordable rental property in the Jackson area. For investors, purchasing a foreclosed home is a perfect property to fix up and rent out. If you are a first time home buyer you can buy a foreclosed home for substantially less than a resale or new home. Now is one of the best times to purchase Jackson property, especially bank repossessed properties. Since no one is sure how long the affordable prices and low interest rates are going to be around, you should think about purchasing soon.
