Comfy Austin

Foreclosure activity in California posted a decline of 7 percent on an annual basis last month.  This news makes me cheery because it means my phone might start ringing again with calls from California investors or California families wishing to relocate to Texas. 

Many Austinites are unaware of the migration patterns between California and Texas or the role that Californians have played in Austin home price appreciation. When the real estate market is good in California, it means that California residents may sell their smallish house in LA, for example, and buy a luxury-size home in Austin.  Oh my gosh, it is such a delight to show them what their money will buy in the Austin TX real estate.  Have not had much opportunity to do that in the last year or so because when California experienced real estate market distress, many California pocketbooks snapped shut and one segment of the Austin Texas buyer market dried up.  Our freakishly cold weather is supposed to be over by next week and the temps in the 70s.  Perfect weather for house hunting in Austin.

According to a foreclosure report put out by RealtyTrac, several other states have experienced foreclosure declines as well.  In fact, six of the nation's 10 most foreclosure-strapped states posted an annual foreclosure filing reduction.  These states include  Florida, Illinois, Michigan, and Arizona. A foreclosure filing includes default notices, scheduled auctions, and bank repossessions.  Overall, foreclosure activity dropped 17 percent on an annual basis last month. It's possible that some of that decline is due to the lasting effects of a "robo-signer" controversy (involving foreclosures done too rapidly without thoughtful oversight) but I think the trend is still favorable.

If you are in the market for a foreclosure, it is possible to pick up a foreclosure property for less than a property in which the seller is under no urgent obligation to sell.  I was running some stats the other day for a two-story home located in the Carriage Hills subdivision in Cedar Park and 36% of the competition of existing homes for sale in the neighborhood was from foreclosed properties.   Buying a foreclosure can be a great deal or it can be more trouble than it's worth.  Knowing the difference involves more than understanding the property's physical defects.  If you are in the market for a foreclosed home in Cedar Park or the Greater Austin area, I would be happy to share with you my experiences in buying foreclosed properties for my own portfolio as well as for my clients.