Editor’s Note: this article was excerpted from the March 2013 issue of RealtyTrac’s award-winning newsletter, the Foreclosure News Report.
After three years with the third highest state foreclosure total in the nation, the Grand Canyon State cooled off substantially in 2012, coming in with the eighth highest state foreclosure total for the year.
But the cool down in foreclosure activity is not deterring real estate investors from pursuing potential investment properties very much at this point. Instead, it’s prompting them to re-think their investment strategy now that multiple offers are commonplace at the low-end price range, and because other types of investors — primarily the large institutional type — have entered the game.
Any discussion regarding the foreclosure market in Arizona really boils down to the state’s two largest cities — Phoenix and Tucson. Both have seen fast and furious changes in the make-up and size of their available real estate inventory as bank-owned properties (REOs) have taken a back seat, and short sales remain a popular choice, albeit harder to acquire.
Instead, a resurgence of traditional sales and new home sales is expected to take hold in the not-too-distant future.
A Buying Frenzy in Phoenix
In Phoenix, which Businessweek ranked 44th amongst America’s 50 Best Cities in September 2012 — a wildfire of foreclosure activity for the past several years has attracted real estate investors from other states (particularly California), and other countries (especially Canada, where their dollar buys a lot more in the United States).
Now the desert winds have taken a dramatic shift for the better, according to the latest statistics for the Greater Phoenix housing market, as reported by Michael J. Orr, director of the Center for Real Estate Theory and Practice at Arizona State University.
Read the full article in the March 2013 issue of Foreclosure News Report. If you subscribe before April 15 you will receive the March issue free!