There are 5,238 foreclosure properties ready to be auctioned at Tucson foreclosure auctions, 9 of which are available to purchase at online auctions. Arizona was one of the harder hit areas affected by the real estate bust and has experienced a record number of foreclosures the past few years. Investors and first time home buyers have been flocking to Tucson to buy up foreclosure auction properties as well as REO’s, short sales and resale homes. There are 606 REO properties available as well as 29 government foreclosure properties. Lenders are backed up with inventory and have not released all of their REO’s so as not to drive home prices down further so foreclosure properties continue to be available. There are also great opportunities to purchase resale properties with 2,656 resale properties listed for sale in the MLS. Recent resale home sales total around 1,211 properties.
Discounted Prices
Lenders are hoping to get back some of their losses on defaulted loans by offering their foreclosure inventory at substantial savings. With so much inventory to choose from in all price ranges and neighborhoods, it is no wonder that Tucson foreclosure properties have become so popular among investors and bargain hunters. The foreclosure auction properties are offered for 10% to 40% below their market value so you are getting a property with a built in equity. Even though auction properties come with no warranties and the buyer is responsible for paying off liens and evicting former tenants or owners, they can be bought cheaply with plenty of potential for profit by just fixing them up and then selling them or holding them and leasing the properties out until the market improves. You need to research them properly before bidding to make sure you are aware of any liens and you can afford to make the repairs. It is a good idea to drive by the property you are interested if you live in the area to get an idea of the neighborhood and the condition of the property. You may also encounter the owner and be able to strike up a last minute deal to buy the home and have the auction cancelled.
Auction Process
Tucson foreclosure auctions are held at the courthouse steps. You should contact the county clerk or check online to find out a list of the properties that are available, or go to the courthouse and look at the notice that is posted. Keep in mind though that about 95% of the sales are cancelled or postponed because homeowners and their lenders or loan servicers are trying to work out deals for the homeowners to keep their homes. Tucson foreclosure auctions are popular so arrive early. To bid, you will need a $10,000 cashier’s check. If your bid is selected, your cashier’s check is given to the trustee, and you must pay the balance of the funds in 24 hours. You will need to send another cashier’s check to the trustee overnight mail for the remaining balance. There are no inspections, and the home is sold as is.
Tucson foreclosure auctions are a good place to find bargains right now. If you are looking for a less risky investments, then purchasing REO’s or short sales may be a better option for you. You can inspect the homes and obtain title insurance. All liens are paid so you are not responsible, and you don’t have to evict the former owner or tenants. The homes are also sold at discounted prices.
