      
 Home Auctions Benefit from Lower Interest RatesPublished: Monday, April 06, 2009 A lot of buyers think that home auctions are about one thing and one thing only: bid price! But the truth is many buyers are financing their home auction purchases and whenever you need financing, interest rates are just as important as the final price when the gavel falls. Record Southern California foreclosures have led to some exciting buys at real estate auctions, to be sure. But recent actions by the Federal Reserve to buy nearly $1 billion in mortgage backed securities have resulted in record low interest rates and buyers at auction should be prepared as banks will be looking for higher bids knowing it will cost less to borrow money. 30 Year Fixed at All Time LowThe current 30 year fixed rate has fallen to 4.9% for the first time in mortgage history. This is good news for borrowers but could also mean that prices of foreclosed homes sold at auction are going to be starting higher and lender owned properties will command higher bid prices as banks look to recoup losses from borrowers that can now afford to pay more for their homes. Real Estate Auctions Still Full of Bank Owned BargainsEven with banks eyeing the interest rate, buying foreclosures and bank homes at a real estate auction can still be your best opportunity for taking advantage of the current foreclosures real estate market. Prices typically start out less than $100,000 for top quality homes in the best neighborhoods, and often buyers find they are the only bidders on certain pieces of property. This means the banks will deal with you on your terms and you can walk away the proud owner of one of the finest San Diego bank homes, Orange County foreclosures or Inland Empire REO properties in the current foreclosures listing. Just remember to bring all your financing documents with you to the auction so that you can take advantage of these new low rates. If you are pre-qualified, talk to your lender about low rate options and lock in a bargain rate now, while there are still plenty of homes to be found at auction! Other Recent ArticlesHome Buyer Tax Credit Extended Until April, 2010Category: Recent Articles Published: Thursday, December 10, 2009 The federal tax credit has been extended to April, 2010, including an expanded benefit to existing home owners who sell their homes and then repurchase a new primary residence valued at $800,000 or less. This could be the perfect opportunity for buyers who wanted to cash in on home auction bargains but were fearful of lower resales on their existing homes. 57,000 Foreclosures Remain in California – Lenders Scheduling More Home AuctionsCategory: Recent Articles Published: Thursday, December 03, 2009 The Southern California foreclosures market may be shifting, with fewer homes entering foreclosure than in previous quarters. However there are still 57,000 existing foreclosures statewide that need to be sold, and lenders are looking at foreclosed home auctions as a major tool to sell large numbers of foreclosures in a short amount of time. Southern California Foreclosures Still the Bulk of Home SalesCategory: Recent Articles Published: Friday, November 27, 2009 Southern California foreclosures still account for the bulk of area homes sales and lenders are finding real estate auctions the fastest and most efficient method of clearing their books of REO properties. Buying a home at auction requires a little prep work, however and the experts at homeauctionexpo.com share their insight on how to find the best auction properties. |
