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Ohio foreclosure crisis may be nearing end

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Started 1 year ago by News
Latest reply from cbus11

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News
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Ohio foreclosure crisis may be nearing end
By Chelsey Levingston, Staff Writer
1:36 AM Thursday, February 16, 2012

The foreclosure crisis in Ohio will come to an end after one more rise in foreclosure-related action by lenders, real estate and banking officials said Wednesday. Foreclosures are expected to fall once the market overcomes an anticipated spike in foreclosure-related filings spurred by the $25 billion foreclosure fraud settlement announced Feb. 9, the officials said. Those filings include new listings, scheduled auctions and bank repossessions.

READ MORE: http://www.daytondailynews.com/business/ohio-foreclosure-crisis-may-be-nearing-end-1329363.html

Posted 1 year ago #
gramarye
In Exile
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Nice to see that the market may finally be clearing (or at least beginning to clear).

However, from the looks of that, it will only get us halfway out of the housing mess. It will be good to clear the court dockets and the loans and liens. However, that will mean a new glut of "auctions and bank repossessions," which are often one and the same thing, since the bank is generally the only bidder at the auction. Banks won't want to keep them on their balance sheets any longer than necessary, so there will still be a number of REO homes hitting the market.

Posted 1 year ago #
pedex

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The "bank settlement" is a sick joke which shouldn't be surprising, $25 billion for amnesty with more than $1 trillion worth of damages and fraud, great business move. What's even funnier is there is nothing officially on paper yet!!

The shadow inventory of housing nationwide is up around 10 - 11 million homes. Given the economic environment and what it looks like in the mid term and the current sales rate of housing this mess has another decade plus to clear yet. Many homes will be bulldozed since they are essentially disposable these days. After they sit and rot for years with no owners or maintenance they won't be worth buying.

Posted 1 year ago #
leftovers

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Friends involved in banking are saying there is a ton of inventory about to hit the market. Unfortunately a lot of these houses have been sitting for years and been ravaged by vandalism, copper thieves and the elements. The key has always been to protect the bank's bottom line.

Posted 1 year ago #
gocrewman

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I handle foreclosures for banks and we still have ways to go. I usually have 50 pre-foreclosures amonth just in central ohio. Pretty much every subdivision built since 2000 have taken hits and will continue. I am getting increased orders for dublin, hilliard, powell, lewis center and westerville. No end in site..The new settlement basically allows banks to unload more homes quickly and will discount them due to majority 4 years of unmaintained vacant properties. Mold spreading from basement to second floor.

Posted 11 months ago #
Twixlen
The Weston District
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I was actually just thinking about how in my neighborhood, I'm seeing less vacant properties and foreclosures. The list of pending auctions on the sheriff's site is considerably down (for my zip code - 43204) from where it was a year ago. I recognize this doesn't mean there aren't more coming, but at least for where I live, there seems to be a level of stabilization in the market that we haven't seen in a long while. Prices are no longer dropping - they have turned the corner.

Posted 11 months ago #
gocrewman

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Some areas have maintained value in last 12 months but keep in mind housing inventory is down 30% from year before. Since the settlement i have seen my foreclosure orders increase tremendously. Some areas surrounding westgate like south hilltop have fallen. You pretty much can't go lower then what they are selling for $10k. Banks would just donate property to nonprofit community organization to rehab or would sell to city for their land bank listings. Westgates homes are nice, many long time residents in area maintain their properties. Streets are clean just need to do something about commercial corridor.

Posted 11 months ago #
cheap
Westgate
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gocrewman said:
Some areas have maintained value in last 12 months but keep in mind housing inventory is down 30% from year before. Since the settlement i have seen my foreclosure orders increase tremendously. Some areas surrounding westgate like south hilltop have fallen. You pretty much can't go lower then what they are selling for $10k. Banks would just donate property to nonprofit community organization to rehab or would sell to city for their land bank listings. Westgates homes are nice, many long time residents in area maintain their properties. Streets are clean just need to do something about commercial corridor.

repo houses in westgate are being scooped up by landlords.they are being flipped right back on the market as well.

2 guys i have spoken to are looking to get $1000 a month for the ones they bought.

the people asking 149k for the house facing westgate rec center are smoking crack.
http://www.kingthompson.com/property/details/64171/MLS-212018780/456-S-Westgate-Ave-Columbus-OH-43204.aspx

Posted 11 months ago #
gramarye
In Exile
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I've started to see things slow down a bit up here as well, but I've also seen a number of properties (better ones, not foreclosures necessarily) simply taken off the market rather than reduce the prices to levels that I might start to look at. (Of course, I'm not the ideal buyer, since I'm in no hurry to buy whatsoever--I don't mind renting in the slightest.)

As for foreclosures, I don't know about June, but nationally, May wasn't a particularly good month:

http://www.bizjournals.com/columbus/news/2012/06/14/ohio-foreclosures-top-10k-mark-in-may.html

http://www.daytondailynews.com/news/ohio-news/may-sees-pickup-in-homes-facing-foreclosure-risk-1390976.html

Posted 11 months ago #
Schoolboy
Columbus
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This is something that is completely impossible to predict.

Posted 11 months ago #
Twixlen
The Weston District
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cheap said:
repo houses in westgate are being scooped up by landlords.they are being flipped right back on the market as well.

2 guys i have spoken to are looking to get $1000 a month for the ones they bought.

If there are a lot of rentals coming on the market in Westgate, I haven't seen them - I was actively looking for a rental for a friend, and could only find stuff down around Chase in the doubles, or in the doubles across from Westgate Alternative on S Huron.

the people asking 149k for the house facing westgate rec center are smoking crack.
http://www.kingthompson.com/property/details/64171/MLS-212018780/456-S-Westgate-Ave-Columbus-OH-43204.aspx

Yeah - that house is overpriced - looks like they bought it at the height of the market and are likely asking what they need to get out of it. That is a hard place to be.

Posted 11 months ago #
pedex

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if the foreclosure crisis is over then we have witnessed economic history and a new world record

I am still seeing and filing property transfers at massive discounts. Many banks are now stuck with properties they can't foreclose on cause they have no paper trail or legal right to do so. As of yet only about $1 trillion worth of the housing bubble losses have been realized, there's still another $2 trillion and climbing out there that hasn't been.

Posted 11 months ago #
cbus11

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pedex said:
if the foreclosure crisis is over then we have witnessed economic history and a new world record

I am still seeing and filing property transfers at massive discounts. Many banks are now stuck with properties they can't foreclose on cause they have no paper trail or legal right to do so. As of yet only about $1 trillion worth of the housing bubble losses have been realized, there's still another $2 trillion and climbing out there that hasn't been.

+1 Agreed, this mess is far from over.

Posted 11 months ago #