We know that most of the country has been battling with the effects of worldwide and nationwide recession. We also know that Phoenix, AZ real estate and Scottsdale real estate are struggling, despite their “wealthier city” status. Not only does there continue to be middle class foreclosures, but even high-end homeowners are now being affected.
Real estate companies like Russ Lyon Sotheby’s International Realty have commented that they are seeing high-end homeowners “walk away from their homes,” an unheard of notion back in the 1980s or even 1990s. What contributes to increased Scottsdale foreclosures? Some speculate that homeowners are getting used to living off the appreciation of the house while ignoring increasing debt. Others speculate that it may very well be that homeowners who have homes in Arizona are now seeking primary residences in other cities or states, and are simply letting their expensive seasonal houses go.
This means that there are more Scottsdale lender owned homes than ever before. More homes are being foreclosed, repossessed by the bank and sold at a much lower price. In fact, there are so many foreclosures happening that sales for new homes have fallen drastically. The real estate industry is attempting to keep ahead of the recession by promoting short sale homes, foreclosure homes and bank owned properties.
Right now, there are an unusually high number of Scottsdale and Phoenix, Arizona homes on the market, and more for-sale signs are going up. You know what they say about for-sale signs—that means that the house hasn’t sold yet. Some of the hottest deals sell to private buyers long before they are ever publicly listed. More than ever, home buyers need real estate agents to hook them up to the latest deals in the area—whether they come from new sales, short sales or even foreclosed homes.