Despite of the recovering housing sector in the Sunshine State, the number of Southwest Florida foreclosures
are expected to rise this 3rd quarter.
The home prices in different key Florida cities such as Miami, Fort Myers and other resort communities have continued to increase for the last 12 months. However, despite of the rise in housing prices, the foreclosure rates in Florida are also increasing at an alarming rate. Although prices in the markets may be rising, this does not put an end to the state’s foreclosure crisis.
Based on the most recent report, the distressed property composed in Florida has reached an estimated 1.1 million cases which are of the following:
- 90 day old mortgages that have become delinquent and subject to the foreclosure process have totaled to 530,000 homes
- Bank owned REOs since 2007 which have not been sold in the market have reached 200,000
- Post Robo signing properties whose foreclosure proceedings were delayed and undergoing trial in the Florida Supreme Court has totaled to 371,000 homes.
While foreclosure homes are increasing, more foreign buyers are interested in buying foreclosed properties in the state. Canadians ranks first for all of the foreign homebuyers in Florida. These nationals buy foreclose properties which they use as a second home or for investment purposes.
Since the Canadian dollar and economy is stronger, these nationals have the better advantage than other foreign nationals.
Most experts agree that when foreclosure or shorts sales occur in the market, this hinders the rise of home prices.
Despite of the lawsuit filed before Florida’s Supreme Court, there has been little done to slow the foreclosure process. In the review of these cases, it has been discovered that bank employees have engaged in fraudulent practices where legal foreclosure documents were signed without verifying documents. Right now, the courts are still deciding whether these cases will be dismissed or not.
While review of the lawsuit is pending, banks continue to proceed in foreclosing properties sans the necessary paperwork. Lenders are continuing with these proceedings without waiting for the Supreme Court’s final judgment.
If homeowners have received a foreclosure notice, it would be best for them to meet with a lawyer specializing in the foreclosure process. These legal experts can help these home owners with options regarding the foreclosure process and bankruptcy alternatives. They can also help pinpoint fraudulent practices in the foreclosure proceedings. These lawyers can also help owners protect their rights against these unethical practices.