For some time now, I have been
posting the details of
foreclosures on my blog. I began to post
all Harrisonburg and Rockingham County foreclosures because I have had clients interested in buying foreclosed properties. I'm making a change starting today, that I believe will still well serve my clients, and those interested in foreclosure properties.
First, let me explain that I categorize foreclosures into three areas:- Terrible Opportunities - where the original amount borrowed (or my estimate of its current balance) is at or above the assessed value. Here is one example, where the original loan was for $231k, and the current assessed value is $157k.
- Good Opportunities - where the original amount borrowed (or my estimate of its current balance) is close to, but below, assessed value. Here is one example, where the original loan was for $270k, and the current assessed value is $316k.
- Great Opportunities - where the original amount borrowed (or my estimate of its current balance) is well below the assessed value. Here is one example, where the original loan was $87k, and the current assessed value is $196k.
A few observations about the people who may be interested in foreclosure properties:- Investors who hope to flip foreclosure homes (buy, fix, sell for profit) would likely be interested in the "great opportunities."
- Buyers looking for a home for themselves would likely be interested in the "good opportunities," and certainly the "great opportunities" as well.
- I have yet to meet someone who is interested in the "terrible opportunities," mainly because they aren't likely to be able to buy them at a reasonable price -- the bank will take the houses.
Unfortunately, for those who hope to do well buying a foreclosed home, most foreclosures in this area fall into the "terrible opportunities" category. For example, yesterday a home on Chestnut Oak Lane was in the Daily News Record with an original loan amount of $343,920 --- and an assessed value of $316,700.
As I move forward, I will only be posting the foreclosure properties that I would categorize as a "good" or "great" opportunity. Recent Articles:
