Those who were looking for properties for flipping repo houses might have gotten a lot of options from Michigan in 2010 as repossessed dwellings and foreclosures hit record highs in the area during the year. The state is ranked seventh in the whole U.S. in terms of foreclosure activities in 2010.
Grand Rapids repossessed properties and foreclosures in the rest of the state recorded some of the highest numbers for the year. The state posted a total of 72,810 repossessions in 2010, representing a 23% surge compared with 2009 numbers. Nationally, repossessions reached the one million mark, setting a record for the U.S. in terms of number of properties taken over by lenders.
Foreclosed and repo homes in Michigan are expected to continue rising in 2011 as 2010 data showed that one household out of every 33 in the state had received a foreclosure filing. This ratio is even higher than the national figure of one household out of every 45. Michigan's foreclosure-related filings total for 2010 was 15% higher than 2009 levels and 28% more than 2008 figures. Filings for foreclosures in the state totaled 135,874 in 2010.
The market would have been ideal for people flipping repo houses since its total number of repossessed properties was one of the highest in the whole U.S. in 2010. According to analysts, high unemployment levels in the state have greatly contributed to the poor performance of the area's housing market. Meanwhile, national numbers for foreclosure filings was at 2.8 million in 2010. Analysts stated that the figure would have been bigger if not for the robo-signing controversy that temporarily put a halt on all foreclosure activities for almost a month.
According to analysts, more house repossessions will happen in 2011 as lenders are likely to pursue proceedings on those properties that received a reprieve during the robo-signing controversy. Foreclosure activities did slowdown in the last quarter of 2010, but the year still ended on a sour note for the U.S. housing market.
Investors involved in flipping repo houses will have more opportunities to find a lot of properties in Michigan in 2011. Analysts stated that lenders will try to make up for lost time and will issue higher number of filings against delinquent homeowners.
John Cutts has been educated in the finer points of the foreclosure market over 5 years.