It’s breakfast time in Orlando and thousands of people are clambering aboard tour buses all over the city ready for fun in the Florida sunshine. One group, however, won’t be following the others to Disney World or the area’s many other theme park attractions. They’ll be taking a shopping trip in the company of estate agents and mortgage brokers, hoping to find a bargain among a selection of repossessed and run-down homes.
The growing popularity of the six-hour “foreclosure express” tour is one symptom of the worst housing crisis to afflict the Sunshine State in recent years, a slump set off by the sub-prime mortgage crisis that has sent repossessions soaring and prices into freefall.
The bus follows a pre-determined route through residential neighbourhoods and stops at up to a dozen empty houses already repossessed by lenders. The passengers disembark and size up the premises as they decide whether to offer an asking price often already below the open-market value…
“It’s really a rolling classroom with realtors, a lawyer, a property appraiser and a mortgage broker aboard with the buyers and investors. People can get a good idea of what’s available.”
And there’s plenty available.
Just what I want. Over priced swamp land in a state known for its overwhelming supply of stupid. I think I will pass.
WOW, what a great idea to make a buck off others misfortune without getting your hands dirty :-7
How many of these repossessed homes were priced way beyond what couldn’t have been afforded? Fiscal responsibility is a skill that seems to be lacking with young adults now a days. Easy credit and mortgage schemes are also part of it, but these people should have taught at an early age not to spend beyond their means.
Canadians are licking their chops over the potential bargins in this market. As a member of this industry, it is distressing to see homes being turned into investment vehicles.
Kinda puts “Flip This House” into perspective, doesn’t it.
The devaluation in real estate is something desperately needed.
#4 – You’re right. Canadians are flocking to Florida to snap up the cheap homes. A large percentage of the homes in FL are occupied only six months out of the year by Canadians.
and i have a feeling most of the pople in the bus are from new jersey. I just have a feeling
#6–Hopper===lets see, Florida is chock full of stupid people AND it is full of part-time Canadians?
Could there be a link?? — we need some more statistics from canucklehead.
This was done in California first.
Florida is LATE to the party.
Can’t blame them, someone has to buy these houses.
If people had not been stupid they would have never lost the house in the first place.
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I bought a foreclosure house once in 1991 from FHA. The yard needed some fixing up (we replaced a broken hot tub with a deck, and did repairs to the backyard swimming pool and pump), but it was a good price, the interior was in good shape, and we lived there for 10 years.
Adding to the above: a house is always an investment, and in the long term most houses will appreciate in value, unless they were overpriced in the first place. We bought our house to live in, but did make a modest profit on it when we sold.
#4 – A home always should be an investment vehicle.
Blows my mind to watch these TLC show where they do something really stupid to the house because it’s “cool” but you just know it’s going to cost them a ton to undo it to make the house salable when the time comes. Resale value should always be top priority when buying or maintaining – unless you’re so rich you can just blow the cash.
Just saw a clip on the news, they’re doing this in Michigan now, too!!
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Since when? Homes have only been seen as investment vehicles in the last 10 years or so. Prior to that, they were seen as purchases you made to house your family, they weren’t seen as ways to make money.
Resale value should always be top priority? The hell it should. If you’re in a house only as an investment, sure, but if you’re in the house you want to live in, do what you want to it. It’s your house.
“it is distressing to see homes being turned into investment vehicles”.
I think you have hit the nail on the head. I have lived in my home for thirty one years I have never thaught of it as an investment, except maybe for a home for one of my kids or grandkids. This home as an investment is why people got in this mess to begin with. The people who bought a home and not an investment probebly are not the ones in forecloser.
#14
Real Estate has always been an investment. The house is bought so that when it is time to for the kids to pack up and leave and you retire you can sell it for a profit and move to the the South of France.
Proper invetment portofolios should all have some real estate in it as it is a hedge against inflation and a slow growth option.
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