No question the recession, as it has affected San Antonio. is showing definite signs of easing. Home prices, though slowly rising in appreciation are still affordable, and unemployment figures are slowly dropping. As to foreclosure sales in San Antonio as of the latest statistics available at this time –and subject to continuous fluctuation- there are 4,401 foreclosures on the market offered at a median price of $93,738, down 0.8% from February.
The Foreclosure Process
- Pre-foreclosure: In pre-foreclosure the bank has served notice that the mortgage is in default, and the borrower is given a specific time to bring the mortgage payments up to date or face eviction and loss of the property (foreclosure.) During this time the property owner still has time to “cure” the default or enter into negotiations with a buyer. If the owner has sufficient equity in the property, the buyer may be able purchase the property from a “motivated” seller at a considerable discount
- Public Auction: Foreclosed property purchased at public auction can offer real bargains and real risks as well, unless the potential buyer has had a chance to title search, examine the property condition, etc. Public auctions can be tempting for would-be investors, but unless one has the knowledge and experience required there can be many pitfalls.
- Properties repossessed by the bank (REO) due to a mortgage default are resold to recover the loan amount due. These properties generally will have needed maintenance and repair and title clearance taken care of by the lender. Although not always the rule, REOs can sometime be purchased as a “short sale” meaning the property is offered for sale at a lower price than the amount still owed the bank. Negotiation outcomes are variable, depending on the particular property and prevailing market conditions