subject: The Up Side to the Foreclosure Crisis [print this page] The Up Side to the Foreclosure Crisis The Up Side to the Foreclosure Crisis
If there is anything positive to come out the massive number of foreclosures taking place around the world it is the fact that some remarkably excellent homes and condominiums are available at lower prices than normal.
Of course, the overall pricing situation in the Miami area is unique because it has continued to actually decline even as the number of monthly sales increases substantially. The combination of foreclosures and decreasing prices has made it easier than ever before for people to own Miami real estate.
Many buyers actually don't intend to inhabit the properties that they purchase on a full time basis, and instead will use them as vacation rental properties. This is a hugely popular trend, and is yet another reason to consider investing in one of the many foreclosures of the Miami area.
Although it might seem odd that foreclosures are coming up in this region, particularly because the real estate market is entering into a very solid state of recovery, the answer to the trend in foreclosures is located far outside of the local market. For many decades the Miami real estate market has been one that is equally populated by full and part time residents. Thousands of homes and condominiums are what are known as "second homes" and this means that the owners of such properties tend to work and live far outside of the community.
The current financial crisis is the primary cause for the financial strains that have forced so many second home owners into the foreclosure process. What many buyers need to realize is that they don't have to wait for the foreclosure process to be completed in order to get their hands on a desirable luxury home or condominium. Instead, they can make a habit of working with a short sale expert who can scout out the properties that are in danger of foreclosure and which the lender is eager to sell at a bit of a loss.
The short sale process involves a negotiation of a decreased pay off amount between the lender and the short sale expert. Usually the short sale professional is able to negotiate an amount that they have already discussed with a potential buyer. At the time of the transaction the owner is freed of their financial obligation and the new owner gets their pre-foreclosure home at a steep discount. Forming such a partnership with a short sale expert is usually a great way to buy a home in the Miami area at a remarkably affordable price.
