In A Year Foreclosures In Virginia Triples

September 3rd, 2008

Within a year foreclosures in Virginia has tripled from what it was in July 2007. Over half the foreclosures are coming from the northern parts of the state according to ReatlyTrac. Virginia ranked 10th in national foreclosure rates noting 5,745 foreclosure postings in July. This calculated to a jump of 55% from the previous year during the same month. Thanks to bank repossessions and slow sales there is a pile up of unsold houses in the real estate market.

In Fairfax County there were 1,728 foreclosure postings in July 2008 and Loudoun County had a foreclosure rate of 1:169. In Prince William County the rate is 1:103 while the position in Arlington County is much better with 1:1,357.

The ray of hope is that the sale of houses has increased all over the state. Hitherto costly properties have now become affordable. In Prince William County the sharp fall in prices has lured in investors and first time nest builders wanting to take advantage of the bargain deals, commented the Virginia Association of Realtors. Last month the average value of a house in Prince William was $214,000 compared to $354,450 of July 2007 according to the findings of Metropolitan Regional Information Systems. The number of house sales increased by 550 in July 2008 from what it was in July 2007. In Loudoun the average price fell by 20% from its July 2007 position. But the increase of sale was relatively modest. In Fairfax the prices went down by 17% but the sales number showed no change.

Housing pundits opine that the tendency shows promise although the housing market will not fully get back on its feet until the stock of foreclosed houses are exhausted.

A survey conducted by Virginia Association of Realtors show that there is a “dramatic” difference between Northern Virginia and the rest of the state.. At the moment it seems as if there are two states inside Virginia with the foreclosure related activity being more intense in the northern section. Perhaps this is because of the latter’s proximity to the Beltway.

The ranking of Virginia as 10th is not necessarily something very bad because there is a big gulf between Virginia and top offending six states like California and Florida. There are indications that the local market will pick up early in the following year. Following the elections more jobs will be created irrespective of who takes over White House.

kw: foreclosures in Virginia has tripled from what it was in July 2007. Over half the foreclosures are coming from the northern parts of the state according to ReatlyTrac. Virginia ranked 10th in national foreclosure rates noting 5,745 foreclosure postings in July. This calculated to a jump of 55% from the previous year during the same month. Thanks to bank repossessions and slow sales there is a pile up of unsold houses in the real estate market.