California Foreclosures

California may see more foreclosures than most other states. If you are in foreclosure in California, you are not alone. If you are looking for properties to invest in California, the foreclosure market is growing. If you are going through a foreclosure process in California, we have many resources for you. If you are an investor looking to save some homes for homeowners in California from foreclosures, we may be able to match you with a homeowner in need to get out of a foreclosure situation or to avoid a foreclosure situation.

Why are there so many foreclosures in California?

When the real estate was booming, houses in California rose in market value more than actual earnings and buying powers of the people. California residents were encouraged to buy real estate properties that were beyond their means using creative real estate financing. Now that the real estate marketing has slowed down, the adjustable rates of those large mortgages are catching up with them.

California foreclosures market

Each day more and more people are going into foreclosures in California and at the same time more and more real estate investors are looking for foreclosures to invest in California. Southern California foreclosures, for example, are very popular. Although there are so many foreclosures in California, including beach front foreclosures, it is hard for a real estate investor to strike a deal with a homeowner in California. That is because, homeowners in California still have, in many ways, unrealistic expectation of what their properties are worth and at the same time, real estate investors are looking for good deals so much that they are not willing to pay enough for the properties.

California foreclosures and short sale

Even homeowners in foreclosures in California are demanding too much, hoping to make a profit and being in denial still. In the end the only profitable situation seems to be when homeowners in foreclosures in CA are upside down in their mortgages. In an upside down mortgage situation, the homeowner gets to walk away free and clear of the debt and the real estate investor makes his or her money off of the discount the bank is willing to give. Unlike buying and selling foreclosures in California, doing a short sale is a win win situation for both the homeowner, the real estate investor and sometimes the bank or lender as well.