Banks gearing up for new wave of foreclosures

On my weekly drive through the neighborhood of McCall Canyon the other day, I was surprised to see over 5 houses with new "Trustee Sale" notices taped to their doors. The sale dates were all to take place within a 2 week period of time.

These particular properties have been vacant for several weeks or months. Why now the Trustee's Sale? I hear it is because the banks are gearing up for year 2011, where they will be able to start fresh with their ability to absorb their losses. Trustees' sales now, eviction or Cash-for-Keys negotiations to have most of the occupants out of the properties within 45 days... another 15 days to get the property cleaned out, etc.... and there you have it... homes ready for market as of January 1st.

Current number of homes to be auctioned between 10/1 and 10/15:

Zip 92584 45 houses up for Auction
Zip 92585 20 houses up for Auction
Zip 92586 15 houses up for Auction

Interesting to note, an article on reports:

" Defaulted mortgages as of July took an average 469 days to reach foreclosure, up from 319 days in January 2009. That’s an indication lenders -- with the help of the government loan modification programs -- are delaying resolutions and preventing the market from flooding with distressed properties, said Herb Blecher, senior vice president for analytics at LPS. “The efforts to date have been worthwhile,” Blecher said in a telephone interview from Denver. “They both helped borrowers stay in their homes and kept that supply of distressed properties on the market somewhat limited.”

469 days to reach foreclosure...that is why I always stress to our clients. "DO NOT JUST WALK AWAY.... STAY IN YOUR HOMES FOR AS LONG AS YOU CAN".... work on a loan modification, and if that doesn't work, try for a Short Sale. Banks would much rather have occupied properties, that are being taken care of, as opposed to vacant properties. Stay in your home, help keep your neighborhood safe, and looking good, and save your money!


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