Foreclosed List Prices Helping Jacksonville Restoration

Lower foreclosed list prices have been ironically contributing to restoration efforts in the historic Springfield neighborhood in Jacksonville, Florida, according to officials of the Springfield Preservation and Revitalization Council.

Officials explained that the continued rise in low-priced foreclosures and pre-foreclosures in Jacksonville had improved affordability levels in the historic neighborhood, facilitating home sales and increasing funds for further development.

The Springfield neighborhood, which was founded in 1869, has 1,800 historic houses which are undergoing restorations.

Realtors said that home prices in the neighborhood have dropped from $450,000 to $200,000, giving home buying opportunities in Springfield for people who previously could not afford to buy in the historic community.

In the first 6 months of this year, Jacksonville had more than 13,500 foreclosure postings, indicating that one household was hit with a foreclosure filing out of every 43 households. The foreclosure pace in the city grew by more than 25 percent compared to the last 6 months of 2008 and grew by more than 59 percent compared to the first 6 months of 2008.

In addition, about 68 percent of all housing units sold in the areas of Springfield, downtown Jacksonville, Trout River South and Paxon over the 12-month period ended August this year were either foreclosed list sales or short sales.

Local realtors even contended that the percentage may have even reached 75 percent in Springfield alone.

Nonetheless, the realtors said that despite the seemingly grave situation of the housing market in Springfield and in Jacksonville, the much improved affordability level has been enticing more people to consider living in or returning to historic Springfield.

Because of the relatively fast pace of improvement and restoration efforts in Springfield, the neighborhood will be featured in Southern Living Magazine as one of the comeback stories of the magazine for its January 2010 issue, along with North Chattanooga of Tennessee and the Patterson Park neighborhood of Baltimore, Maryland.

Realtors said that the beautiful streetscapes, the beautiful park in the southern part of the community and the positive attitude of residents have been attracting prospective home buyers to Springfield.

The restoration of the neighborhood has also encouraged builders to build new homes in the area, such as SRG Homes & Neighborhoods, which has already constructed 80 homes.

According to Louise DeSpain, head of the Springfield Preservation and Revitalization Council, which was formed in 1974 to spearhead the revitalization of the neighborhood, lower foreclosed list prices have made home prices in Springfield affordable to more people.

Related Posts:

• Bank Owned Home Foreclosures Soared in Springfield
• Foreclosed Home List Prices Fall, Numbers Rise in Arizona
• More Lawyers Needed to Help Homeowners Facing Florida Foreclosures
• Distressed Home List Contributed to Higher Sales in Myrtle Beach
• Foreclosure Home Sales Affect Home Prices Differently