Foreclosure filings in Pinellas County continue at roughly the same rate that we’ve been seeing for more than a year now, with 1147 foreclosures filed October 1, 2009- October 31, 2009. The properties represent a cross section of neighborhoods across Pinellas County, with higher concentration of foreclosure filed in lower income areas and fewer filings in higher income areas. As expected, the majority are single family homes with a fair number of condominium sales thrown in.
Foreclosure Auction Sales Heat Up
There have been roughly 1000 foreclosure cases filed in Pinellas County for at least the last twelve months, while at the same time, the total number of foreclosure auctions during this period were 385. This number of actual sales seems to be on a bit of an uptick, with previous months showing numbers in the 100-200 range. Anecdotaly, I can report that there is increased attendance at the foreclosure auctions by third party bidders, who are bidding particularly on those homes selling in the under $100,000 range. Having said that, the overwhelming majority of properties are returning to the lenders with very few third party purchasers actually winning bids.
A Build Up of Foreclosure Inventory
The large number of properties that are having foreclosures filed against them, when compared with the relatively small number of sales that are occurring along with the very small number of sales that are being transferred to third parties, indicates that lenders are accumulating a large back up inventory of foreclosure homes/properties. When you combine this number with the large number of properties that could have foreclosure filed against them based upon their 30/60/90 day late status, you’re talking a massive number of properties that are sitting on lenders books that would have to be liquidated before any real recovery in the real estate market could take place.
Tremendous opportunities exists for real estate investors looking to take advantage in this marketplace, but bidding at the foreclosure auction is a very complicated process and requires the assistance of an experienced real estate attorney. For more information, contact Matt Weidner at www.mattweidnerlaw.com