For the first two months of 2007, Arizona recorded 4,476 foreclosure filings in March compared to February’s 3,116. This brings the total number of Arizona foreclosure listings to 11,757 for the current year. The state is still struggling with the increasing number of homes entering some stage of foreclosure. With 1 out of 186 homes in mortgage default, Arizona foreclosures rate is among the nations’ highest.
All over the US, subprime loans are considered to be the major culprit for the increasing foreclosures rate. In fact, over 430,000 foreclosure filings were recorded for the first quarter of this year. Subprime loans are loans taken out by borrowers with poor credit. Because of the status of their credit rating, lenders imposed a higher interest rate. To attract more borrowers, some lenders offered a fixed interest rate for the first two to three years and later on shifting to an adjustable interest rate. Although it sounds like a great deal, the rising interest rates have resulted to mortgage payments increasing by 40 percent.
When Arizona owners find themselves facing foreclosure, most of them try to cure the mortgage default by selling their Arizona foreclosure homes. To ensure that these Arizona foreclosure homes would be sold before the re-instatement period ends, owners partner with real estate brokers like ForeclosureListings Nationwide.com. These brokers offer reliable foreclosure listings that are utilized by seasoned real estate investors and buyers.
Before purchasing any of these Arizona foreclosure homes, buyers should consider having the property professionally inspected. Some of these homes may need minor repairs while some would require major work done. Depending on the result of the inspection, you can assess whether the asking price is reasonable. Of course, you can always try to negotiate the price with the seller, with the repair costs as considerations.
Related Posts:
- Arizona Sees Troubling Rise in Foreclosures
- Stockton: Worst Foreclosures Rate in US
- A Year for Foreclosures: The 2008 Mortgage Rates Review
- Factors to Consider in Arizona Foreclosure Listings
- Los Angeles Foreclosure Listings May Grow due to FHA Loans
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