Earlier today I posted an article about a cash sale increase in June. Since the US congress did not extend the Mortgage Debt Relief Act and since a new law "fast track" foreclosure law that went into effect July 1, 2013” is in effect which the banks have gone through the learning curve it makes sense that the number of foreclosure is up. We have been expecting the back log to hit the market for some time. This may be a buying opportunity for investors or some first time home buyers but no one knows the conditions of these properties until they come to market.
One question is will these properties help the low inventory in the market or will they cause degradation of prices in the local neighborhoods ‘they are in. In the past foreclosure properties sold pulled down price of similar homes. So another question is what effects will this have on local markets and is any of the recent settlement money available to the people being foreclosed upon.since these are new foreclosures.