Best cities for foreclosure investing in 2020
Foreclosure investing will remain hot in 2020, with plenty of opportunities scattered throughout the United States.
Even with foreclosure activity dipping year over year during Q3 2019, there are still plenty of opportunities available to investors.
As always, the key to foreclosure investing in 2020 is to identify the cities with the best inventory, as this increases the likelihood of finding an acceptable property at a competitive price, all with the idea of making money.
According to the ATTOM Data Solutions U.S. Foreclosure Market Report, there were more than 143,000 U.S. properties with foreclosure filings in the third quarter.
Despite the fact that foreclosures are down nationwide, many local markets experienced a big increase. The ATTOM Data Solutions U.S. Foreclosure Market Report adds the following:
“Also counter to the national trend, 66 of 220 metropolitan statistical areas analyzed in the report (30 percent) posted a year-over-year increase in foreclosure starts in Q3 2019.
Those markets with at least 1 million people that posted year-over-year increases included, Atlanta, Georgia (up 37 percent); Columbus, Ohio (up 27 percent); San Antonio, Texas (up 24 percent); Portland, Oregon (up 22 percent); and Tucson, Arizona (up 21 percent).”
These cities will remain among the best for foreclosure investing in 2020, as this inventory, as well as new properties, will flood the market during the fourth quarter of 2019 and the first few months of the new year.
Cities with High Foreclosure Rates
It’s important to become familiar with the cities with the highest foreclosure rates, as this provides a clear overview of where you can expect the most properties to hit the market.
While it changes from quarter to quarter, these cities had the highest foreclosure rates during Q3 2019:
• Atlantic City, New Jersey
• Trenton, New Jersey
• Rockford, Illinois
• Fayetteville, North Carolina
• Peoria, Illinois
Atlantic City always seems to find its way onto these lists, and Q3 2019 was no different. One out of every 269 housing units within the city limits had a foreclosure filing.
According to Simon Campbell of BankForeclosuresSale.com – an online service that helps consumers find foreclosed homes – many cities throughout the United States will provide foreclosure investors with sound opportunities in the new year such as Dallas, TX or Atlanta, GA.
“At first glance, it appears that many of the same cities and states that have always struggled with foreclosures will once again be in this position in 2020.”
As noted by the ATTOM Data Solutions U.S. Foreclosure Market Report, lenders repossessed more than 34,000 U.S. properties through foreclosure (REO) in Q3 2019, which is an increase of six percent from the previous quarter but down 33 percent from a year ago.
“What we’re seeing is that some cities offer great investment opportunities, not just because of the volume of properties but also the value,” Campbell added. “As the first quarter of 2020 comes to an end, we’ll get a better idea of which cities have the most potential for foreclosure investing through the rest of the year.”
Foreclosures may be down as a whole, but opportunities exist to make money in many metro areas. Investors who are interested in foreclosed properties can learn more and conduct a thorough search by visiting bankforeclosuressale.com