Low-priced foreclosures incite bidding wars
Posted:
Mon Jul 20, 2009 2:42 pmby tacomatroll
http://seattletimes.nwsource.com/html/n ... renzy.html 
Unfortunately this is happening to me in the 98403 zip code in Tacoma
Re: Low-priced foreclosures incite bidding wars
Posted:
Mon Jul 20, 2009 3:07 pmby jon
Seems like the problem is not so much the bidding war but that appraisals will lag the market as prices revert to replacement cost, and so buyers without a lot of cash can't get in until prices stabilize.
Re: Low-priced foreclosures incite bidding wars
Posted:
Mon Jul 20, 2009 4:45 pmby davidlosh@davidlosh.com
My oh my cash buyers are bidding properties up. just as i said a year ago there is tons of cash in the system with nowhere to go.
Go over to the comments under the "Are you Better Off" post and see how pathetic returns are.
If you buy a place for $100K, cash, and rent it for $500 per month you get $6000 gross. If $3K goes to expenses you get a $3K return or 3% secured by a Real Estate equity position.
In a short while all the cash that can be allocated will be allocated to real estate. The pickings will be better.
The other thing is that auctions are better in the winter months.