Miami is a Florida city offering easy access to the water and water sports, tons of entertainment, all the amenities of a large urban city, and gorgeous weather. For investors, Miami is very attractive because so many tourists and new residents flock to the city each year, all in need of accommodations. Beach properties in the city and water views are especially popular with tourists and therefore with investors.
The traditional Miami real estate market is challenging for buyers. Many of the condos and homes built in the city’s most desirable areas are rich in amenities – with price tags to match. Prices can even go higher than the asking price, since there is often considerable buyer competition for the most attractive and desirable Miami properties. Homebuyers and investors do have some good news, though: Miami bank foreclosures.
Miami bank foreclosures allow buyers and investors alike to buy Miami homes and properties for less. In fact, some experienced investors compare the Miami bank foreclosures market to a giant sale. Some foreclosed properties in the city sell for a fraction of their market value, making these properties an amazing bargain for buyers.
Bank foreclosures in the city show just how much buyers can save on property. In 2005, luxury condo prices in the exclusive district of Bal Harbour were being sold for an astonishing $1 100 per square foot. In 2009, smart investors were snapping up foreclosures in that same community for a fraction of the price. From exclusive neighborhoods such as Midtown, the Design District, and the Upper East Side, to diverse, family-friendly and ethnic communities such as Little Havana, Allapattah, West Flagler, and Flagami, it is possible to buy some of the city’s most desirable new and historic homes for less.
Miami bank foreclosures are usually homes that were previously owned by a homeowner who did not pay the mortgage. As a result of the defaulted loan, the lender has repossessed these properties and is seeking to resell them in order to earn back the money lost on the bad loan. For the buyer, foreclosures mean great news because a lender is often willing to sell below market value just to get some money back.
There’s more good news when it comes to Miami bank foreclosures. There are so many of these properties available that it truly is a buyer’s market. In 2008, Miami saw $14.2 billion worth of property foreclosed. This means that there are many choices for buyers. You can find a foreclosure in just the neighborhood you want if you are willing to look. In fact, you can even buy a brand-new home or condo. Some new properties in Miami are foreclosed if a builder cannot sell the properties and is unable to pay builders and creditors. From new condos with water views to historic properties, you can buy it all in Miami as a low-cost foreclosure.
Foreclosures are available across the city. If you want an investment property, consider the retail and cultural hot spots of the downtown area. If you want to own a nice residential home, consider south Miami neighborhoods such as Coconut Grove, Coral Way, and The Roads. These areas feature mature homes and tree-lined residential streets. If you want to rent to students, consider buying property in the slightly bohemian Coconut Grove. The same community also has many historic estates that might catch your eye. If you want lower cost homes in vibrant, diverse neighborhoods, consider homes in West Flagler, Little Havana, Little Haiti, Overtown, Flagami, and Allapattah, all of which are home to many multicultural communities and ethnic residents. Even the exclusive communities of the Design District, the Upper East Side, and the Midtown have foreclosures available. These communities boast beautiful homes from the 1920s and Miami’s famous MiMo architectural style. You can buy one of these wonderful homes for less by shopping for foreclosures rather than shopping via the traditional real estate market.
The number of foreclosures not only mean choice, but also value. Since there are so many foreclosures in Miami, many of the city’s lenders are willing to offer great deals on financing or even lower a price further just to make a sale.