So… How’s the nation’s foreclosure rate? In short, Higher. According to data released today, the foreclosure rate for April jumped 32 percent compared to the same time period last year. More than 342,000 homes received a foreclosure notice in April. Of course that’s a nationwide statistic.
Although I like going there on vacation, I’m glad that I don’t live there… the city of Las Vegas lead the pack in foreclosures. One in every 56 households got a foreclosure notice last month… Wow! Coming in at number 2 (but not far behind), was the southwest Florida metro area. One in every 57 Cape Coral-Fort Myers households got a foreclosure notice.
Looking closer at the data though provides some interesting stats. The top ten states leading the foreclosure rates are:
I’m a little surprised by Georgia, Idaho, and Utah. You would think for sure that New York would make the top ten list! Not to mention Colorado, New Mexico, and maybe Washington state.
But you’ll notice that Texas isn’t on that top ten list! Hooray! (sort of). Texas foreclosure rate is still up from a couple of years ago, but not as much as other area. As a matter of fact, according the Star-Telegram, the North Texas area has seen a jump in foreclosure rate of about 8% for the first quarter of 2009 compared to the end of 2008. Mainly due to job losses.
According to RealtyTrac, cities in just 4 states (California, Arizona, Nevada, Florida) counted for the 26 highest foreclosure rates in the first quater!
Okay so where does that leave Waco? Better than some areas and worse than others. Really though, according to the Waco Trib, foreclosures for May came in lower than the record breaking April. For the first five month of 2009, over 570 houses were posted for forelosure. In contrast, just a few years ago, a little over 350 houses were up for foreclosure during the first 5 months.
Usually with higher foreclosures rates, obviously home value appreciation rates either slow or decline. Using data from the Waco MLS system to compare the 1st quarter of 2009 with the same time period last year, values for existing homes in the Waco MSA have fallen by only 2.6%. By contract, the DFW area existing home values have fallen by nearly 5%. As a whole Texas home values are down, but not out, especially when you consider the housing problems in a few select states through out the country!
It’s kind of interesting though, even though Waco MSA home values are down 2.6% percent for the 1st quarter, when I look at homes sold in the last 30 days and compare it to the same time period last year, values for existing homes are down 4.4%
This is kind of funny though, a few years ago, I’d have clients who were moving to Waco from California and I’d show them what they can get here for their money and they’d be in shock and how much house they could actually buy! I’d tell them… “Hey, this ain’t California 🙂 “. Now, when I get a client from California who thinks they can buy a $200,000 home in Waco for $100,000, I have to tell them… “Hey, this AIN’T CALIFORNIA!” Although are values are down, they’re not cut in half like in some areas fo the country! But don’t get me wrong, Texas, on average (and true today), still has some of the best buys for your buck compared to the rest of the nation!
Even with the depressed housing market (and falling home values) in states like California, Texas is still a GREAT value! Here’s what $230,000 will get you in San Diego: View Listing. Here’s what $231,000 will get you in the Waco (Hewitt) area: View Listing
Some experts say that increases in foreclosures, lower interest rates, and good deals out there have created a “perfect storm” for home buyers in various high price areas. Even though Texas and the Waco area haven’t suffered as badly as those areas, it’s still a great place to buy a home and live.