Tucson Bank Foreclosures Are grounded!

Seems like Tucson bank foreclosures are here to stay and the state of Arizona is going for the long haul. Arizona has not seen better days in the last couple of years with more and more homeowners defaulting on the sub-prime mortgages and more and more bank foreclosures being listed for auction. One man’s loss is another man’s gain because where a homeowner is losing the home an investor is buying it through the auction. But lately, even the rate of buying through auctions has taken a fall. Foreclosure properties in Tucson are being auctioned from anywhere between $10,000 for 2bed/1bath to $180,000 for 3bed/2bath homes. The average sales price through auctions of foreclosure homes in Arizona is around $186,648 as compared to the median home price, which is $293,478.

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One of the worst affected counties is Pima County, which has seen an increase of homes in foreclosure. A major part of the Tucson foreclosure homes can be attributed to Pima County where the housing market has slowed down considerably causing inflation to accelerate. According to latest data, Pima County recorded 1,797 foreclosed properties in the first two months of 2008 as compared to 1,199 in the first quarter of 2006 and only 943 in 2005. A county with 1 million residents, it seems like there is likely to be a hike in the number of foreclosed homes this year, which is bad news for the homeowners.

The increase in the foreclosure rates in various counties and metro areas has tipped the scales causing a jump in the Arizona bank foreclosures in the month of January 2008. The rate of increase was 57%. In 2007, Arizona was among the top 10 states in the US holding a maximum number of foreclosure homes.

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