Will 2014 be the year we finally say, the crisis is over for Columbia SC foreclosures?
According to Daren Blomquist, vice president of RealtyTrac, there is strong evidence to suggest that foreclosures are no longer a threat to the Columbia SC housing recovery.
The latest foreclosure data suggests the Columbia SC housing market is heading toward a more normal market, at least where distressed properties are concerned.
Foreclosure activity, which includes default notices, scheduled auctions and bank repossessions, declined 15% in November from the previous month, the biggest monthly drop since November 2010 when foreclosure activity plummeted following revelations of the robo-signing scandal.
Year over year, foreclosure activity was down 37%.
Columbia SC Foreclosures Drove Home Prices Lower
The unprecedented level of Columbia SC foreclosures in the wake of the housing bust drove home prices lower by more than 30% from their peak levels. In the hardest hit areas, the decline was even steeper.
After hitting a peak in 2010, foreclosure activity has been on the decline for the past three years as banks pursued other alternatives such as loan modifications and short sales to resolve problem loans.
While Columbia SC foreclosures are moving toward normal, there are other indicators in housing that remain depressed. Construction starts and household formation are still well below normal.
In addition, in some regions housing affordability is once again becoming an issue, as incomes remain flat, mortgage rates rise, and low availability of homes for sale are an ongoing issue. Most borrowers still have trouble getting a mortgage.
So not all is completely well with the housing market. But it is getting better.
To stay on top of the latest news as it affects Columbia SC foreclosures, bookmark our site and visit often. Check out our other mortgage related stories by clicking on the Columbia SC Mortgage Info link to your right under Columbia SC Real Estate Categories.
Just because you’re experiencing a Columbia SC home foreclosure, it is not necessarily reason for you to also file bankruptcy. The government has extended the rule that excludes you from paying income tax on money owed to a mortgage lender, but only for one more year – through 2014.
Check out our other articles and tips pertaining to a Columbia SC home foreclosure and other mortgage related articles by clicking on the Columbia SC Mortgage Info link to your right under Columbia SC Real Estate Categories.
We've often times warned readers of this blog to steer clear of a foreclosure home, no matter how good of a deal it may seem.
This NBC News investigative report is just one of many reasons why we continue to discourage anyone from buying a Columbia SC foreclosure home…
Buying a Columbia SC foreclosure home can be very risky, as you have just seen. Don't let your dream home turn into a nightmare. Take our advice and stay away from foreclosures.
Buying a short sale property may not be much better. Typically, Columbia SC short sales take longer to sell than normal home sales or a foreclosure home because of the time required for the parties-lender, buyer, seller-to respond. In the past waiting 6-18 months was common, now we find the process taking about 3-4 months if you are aggressively on top of everything.
The apparent end to the Columbia SC foreclosure crisis and the foreclosure crisis nationwide seems to be in sight. Today, less than half the number of homes are in or facing foreclosure as those facing the same fate in 2010 when the Columbia SC foreclosure crisis was at its peak.
While foreclosures are going down, Columbia SC housing prices are on the rise and slowly recovering. So what’s suddenly causing the drop in foreclosures? The secret… short sales. The video explains it all…
A good time to buy if everything is in place for you? Sound like sound advice?
Want more tips on mortgages and homebuying? Head over to our Columbia SC Mortgage Info Category under the Columbia SC Real Estate Categories to your right for more tips and advice.
We still have a ways to go, but it would appear that the Columbia SC foreclosure crisis, as well as the foreclosure crisis nationwide, is finally coming to an end.
Latest figures from RealtyTrac show that foreclosure filings have continued on their downward trend, falling to the lowest level at the end of January since April 2007.
Foreclosure filings – which encompass bank repossessions, default notices and scheduled auctions – fell by 28% last January compared to one year earlier, according to reports from CNN Money.
Daren Blomquist, spokesperson for RealtyTrac, says there is every reason to be optimistic:
“We’re now well past the peak of the foreclosure crisis. It’s likely that by this time next year, we’ll start to see 2005-type, pre-crisis numbers again.”
Is the Columbia SC Foreclosure Crisis Really Over?
Foreclosure levels remain twice as high as they were in 2005, but then again, the rate at which they are slowing down suggests we may now be well past the peak of the Columbia SC foreclosure crisis. Already, bank repossessions have fallen to half of the record-breaking 102,134 nationwide set in September 2010, and things are only going to get better from here on in as banks race through their backlog of underwater homes.
One of the big reasons for the drop in foreclosures was due to new legislation in California, which gives borrowers more protection against losing their homes when they default on their repayments. As a result, California saw a 62% drop in foreclosure numbers in January, meaning that the state no longer leads the country in number of foreclosure filings, for the first time since 2007.
The Columbia SC foreclosure crisis isn’t over by any means, but things are definitely a lot better than they were just a couple of years ago.
For more on Columbia SC mortgage information, see our Columbia SC Mortgage Info category of articles under the Columbia SC Real Estate Categories to your right.