A residential community and golf course has joined foreclosed homes for sale in Austin and other foreclosed properties in Texas, demonstrating that the real estate crisis is not exclusive to residential properties and commercial buildings. Spanish Oaks has recently been taken back by lender Comerica Bank after the bank acquired the property at a foreclosure auction.
The city has been dealing with huge numbers of foreclosed properties, including Citibank homes for sale, and the foreclosure of the 18-hole course did not surprise a lot of people. Comerica was able to purchase the property which includes the golf course and several lots and pieces of undeveloped land for $29 million.
The price was way above the usual amount paid for Texas foreclosed homes purchased at auctions, but it still came a bit short of the outstanding balance of loan which is worth around $32 million. Sources from the original developer of the project have revealed that the initial loan was worth $34.3 million and the purchase price paid by Comerica will be credited to the remaining loan balance.
Just like most foreclosed homes for sale in Austin, Spanish Oaks was initially valued at a price that is less than the total amount required to fulfill the terms of the original loan. It was first posted on August 3 and is one of the many large projects in Texas that ended up getting foreclosed on due to the housing market crisis and the recession.
Austin is one of the places in the U.S. where buyers can find foreclosures for sale by the thousand and a project as big as Spanish Oaks is not something rare in the metro area either. It has been reported that the owners of the property has been negotiating with the bank for over a year, even requesting a revision of the original loan terms to prevent the property from getting foreclosed.
Following the sale, the golf club has remained closed to its members, although officials stated that this is just temporary. Reports reveal that majority of the members of the golf club also own houses at the Spanish Oaks property and most of them have hoped that their properties will not end up as foreclosed homes for sale in Austin.
John Cutts has been educated in the finer points of the foreclosure market over 5 years.