Foreclosure activity nationwide decreased in 2012, but many metros across the country experienced a rebound in foreclosure starts and foreclosure completions (REOs) during the year. Those metros should see an increase in the number of foreclosures for sale in 2013 — either as short sales or bank-owned homes.
The 20 metros below are most likely to see a jump in foreclosure homes listed for sale in 2013 thanks to an increase of at least 20 percent in foreclosure starts and REOs combined in 2012. All of these metro areas had at least 2,000 foreclosure starts and REOs combined in 2012 through November.
The influx of foreclosure inventory in these metro will be good news for buyers and investors looking to land a bargain buy in 2013, but it could be bad news for home values as often-discounted foreclosure sales drag down overall home prices. Still, strong demand and a shortage of available inventory over the last year in many of these markets should keep home prices from cratering anywhere close to the extent that they did after the housing bubble burst back in 2006.