Repo Homes for Sale in Annapolis Show Home Price Declines

The prices of repo homes for sale in Annapolis, Maryland have been falling as foreclosures and unsold inventories continue to push down prices.

The fact that no one made a bid among the prospective buyers in a court-supervised foreclosure auction held last week at the county courthouse in Annapolis showed that the minimum bid prices were too high for their budgets or too high compared to the market values of the foreclosed properties.

Another public showing of repo homes for sale in downtown Annapolis during the same week as the court auction showed that the housing downturn is not yet over in the city. A total of 13 new houses in the high-end Acton’s Landing development site were put up for discounted sale because the developer failed to sell them at their original asking prices of over $1 million for many of the properties.

Annapolis seemed insulated from the foreclosure crisis that clobbered a lot of cities, but in reality, the city has also been suffering from sharp home price declines.

The court originally set a public auction for 15 foreclosed houses, but some were canceled a few days before the auction, according to auction firm Alex Cooper. Apparently, some were able to delay the foreclosure sale through special deals with the lenders.

At this particular public auction, although there were investors and real estate agents in the audience, no one made a bid. Ultimately, all the distressed properties were sent back to the lender through absentee bids.

Millersville realtor Marcy Gaines said that the prospective buyers apparently surveyed the foreclosed properties and determined that they could not make a profit from the minimum bid prices set by the lender. She added that the Bay Ridge Avenue home was not worth the $145,000 set by the bank.

Meanwhile, the Acton’s Landing housing units are being shown to the public before it will be sold off in an auction later in the month. According to auctioneer Michael Russo, many of the units were already sold before the construction, but buyers backed out when the housing market collapsed even if it meant forfeiting their deposits.

The lowest opening bid is $249,000 and the higher-priced units start at $400,000 and $500,000.

The low auction prices show how sharply home prices have dropped in Annapolis. Condo residents who bought their units in 2007 at around $529,000 have been frustrated at how low the values of their condo units have fallen.

Comments are closed.

Sponsored Links:

Related Posts:

• Foreclosures Auction: Buying from Court or Company Auction
• Most REO Properties in New York Were Flipped, Furman Says
• Cheap Houses for Sale in Florida Profitable for Oregon Firm
• Glut of Unsold Houses in South Florida Despite Decrease in Foreclosures
• Foreclosure Properties for Sale in Michigan Made Up 37%