Today there are many homes that have been foreclosed on in Florida. In fact Florida ranks second in the nation in available foreclosure properties. There are nearly 280, 000 home foreclosure in the state, that is up nearly 300% from 2006. People just tried to buy too much home for their financial abilities.
Banks and lenders just don't want to sit on empty houses! Empty houses don't produce money and they do require upkeep. That means there are a lot of properties out on the market and these will be sold with substantial savings for the buyers. This is a great opportunity for those that want to find investment property.
There are many different types of property in Florida that are great buys now! There are all kinds of property to choose from. You have your pick of commercial real estate, land, homes, condominiums, etc.
Fist let's discuss what a foreclosure is, that way you can better understand why there is so much property for sale in Florida, and why its not a scam. When someone buys a home, they usually get financing from a bank or a lending institution. They then begin to make monthly payments. When you buy a home and get a fixed interest rate, then you pay the same amount month in and month out throughout the term of the loan. But there are many loans that are not fixed interest, but are variable interest rates. This means that you may start out paying small monthly payments, but as time goes on the payments will start increasing.
A lot of people got into too much of a house for their income level, the wrong type of mortgage for their needs, or lost their job and just couldn't continue to pay their home, so they have to return it to the lender.
They have no other option except to declare bankruptcy. The lender has no other choice, but to confiscate the property, but this lender doesn't want to be saddled with the property. A property takes maintenance and that means more money out of pocket for the lender.
These lenders need to get rid of the property and get rid of it quickly and this means they need to either sell it directly or through an auction. They are known to even offer a 20% discount. The bank needs the money to make other loans.
This leaves you with a great number of opportunities available in Florida. And this why there are so many houses and properties at such great prices, and why it is a good idea to invest in these as an investment or just as a great deal on a home.
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With the proper plan and good research, you can get a good investment in foreclosure properties right now.
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