Go Buy A Foreclosure

Well known magazine, The Economist has written that homes in the USA are currently being sold on average 22% below the price-to-rent ratio.

Numbers based on extensive housing data from 1975 to 2011 highlight the fact that there is a lot of scope for future capital appreciation for investors who buy while the market is slow.

Since the USA’s property crash in 2006, a lot of investors have been interested in US property foreclosures and various buy-to-let properties in market due to the low cost of property with many investors seeking US property foreclosures at a low prices.

With mortgages unobtainable for most due to large deposits required and the increasing number of foreclosed properties, the rental market is experiencing a boom right now in many states where employment and prospects are picking up like Michigan for example.

Writing with caution, the Economist Magazine also stated that house prices may take a further stumble over the next 12-18 months.
If the house prices to dip for a while before bouncing back then a lot of investors would suggest that this dip time would be the ideal time for people looking for a long-term investment to acquire houses when they are at the rock bottom prices.

Since the market peak of 2007, the value of properties in the USA has dropped 34% on average.

But it’s not all doom and gloom for the USA property market, according to the Detroit Free Press, both the median price of property and house sales of Detroit property saw a rise in September due to increased sales activity during the summer.

The Detroit Free Press Newspaper also reported an 8.2% increase in sales from 4,222 to 4,568 in September, with median prices increasing by 10% from $68,000 to $74,900 across Metro Detroit. In Wayne County alone, property sales increased by 1.6% from 1,776 to 1,804 in September. Median property sale prices also saw a rise with an increase of 8.8% from $40,000 to $43,500.

For investors looking to enter buy-to-let property investments in Detroit it is a good time right now to start seeking the right house and with a number of US property foreclosures available at auction a lot of investors are acquiring good bargains.

However most of these foreclosures houses will require refurbishment. Some specialist companies have taken the hassle out of Detroit property investments and offer complete investment packages, supplying houses in desirable areas that are refurbished and are already let to long-term tenants meaning instant income for investors.

If you’re looking to take advantage of the current below market value prices of properties in the US and specifically US property foreclosures, and property for sale in Michigan then contact Experience International call +44 (0) 207 321 5858 or email enquiries@exprience-international.co.uk.