Listings of Bank Owned Homes a Hit in Maine

More and more buyers are taking advantage of bargain-priced properties on listings of bank owned homes in Maine. Encourage by federal tax credits and low rates, a number of buyers showed up at a foreclosure auction where an estimated 100 properties were scheduled for sale

Industry experts noted that among these buyers were people who are searching for houses to live in and investors who are looking for bargain properties on listings of bank owned homes. The goal of these investors is to purchase a property, fix it and resell it for a profit.

Experts agreed that the residential foreclosure market is changing, with more buyers showing up at auctions and more repo homes are selling. They explained that the trend is an indication that a great number of homebuyers are confident that the housing market is on its way to recovery.

And with banks becoming more flexible about negotiating with delinquent homeowners, fewer foreclosed properties are entering the market, prompting experts to anticipate a slowing down of the foreclosure crisis in Maine.

The number of distressed properties on listings of bank owned homes in Maine is higher compared with other states in the New England region. In the first quarter, about 1.1 percent of all mortgage loans in the state went into foreclosure, ranking Maine second to Rhode Island which posted 1.5 percent.

However, Maine’s foreclosure rate was lower than the 1.4 percent national repossession rate, according to data provided by the Federal Reserve Bank in Boston. A market study showed that the town of Sanford has the highest foreclosure rate, earning it a moniker as the state’s foreclosure capital from the Maine Office of Community Development.

From September 2007 until November 2008, Sanford posted a total of 65 foreclosures. The town is followed by Lewiston with 44 homes and Bangor with 32. But foreclosures in Sanford started to inch down, averaging 20 each month, according to local real estate professionals.

Meanwhile, the rate of foreclosures in other communities in Maine has been fluctuating since January of this year. Last month, Portland posted 28 foreclosure properties, compared with seven in January. The trend is in contrast with Lewiston where eight properties were placed on listings of bank owned homes last month, as against 14 in January.

Related Posts:

• Listings of Bank Owned Homes: Good News for First-Time Buyers
• Maine Bank Report Shows Rise in Foreclosed Properties
• Second Houses Noted in Bank Foreclosed Home Listings
• Financial Leverage for a Foreclosed Homes Prevention Program
• Best Deals Found in Tax Foreclosure Property Listings