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Foreclosures Make For A Better Buyers Market

Home foreclosures are quite a common thing in the United States. The end of 2005 bought with it quite a high percentage of foreclosures. However, these numbers are not necessarily a marker for increased debt rates or poverty reates. Foreclosure.com reports 91,905 foreclosed residential properties were available for sale in the United States during December a jump of 12.7 percent from November. December is also showing a spike in the rate of foreclosures listed for sale 24,124 an increase of 7.7 percent from November. The Southern portion of the country region led the country with a 17.4 increase in new foreclosures from November to December and a nine percent increase in new foreclosures.

The Midwest region showed the second highest percentage increases, followed by the Northeast and West regions. Brad Geisen, president and CEO, Foreclosure says, "With lending institutions closing their books at the end of the year, it is somewhat common for the foreclosure inventory to rise. It is premature to predict that December`s inventory indicates a foreclosure crisis in the U.S.". However, this rise in inventory, which is higher than in recent years, should be closely monitored as 2006 begins.

If factors such as waning investor confidence in the housing market, high interest rates and a weakening sellers market continue, it is very likely that foreclosure inventory will remain high in the early months of 2006. Regardless of what happens in the first quarter, the current foreclosure inventory represents a very strong buyers market for investors and individuals. And this may end up helping the economy in the long run.