Foreclosure Profits Foreclosure Investing On the Rise as Buyer Demands Surpass Market Supply:- If you have had a keen eye on the market surplus for the past few months, you must have noticed the effect of the tightening inventory on the overall house sales.

According to statistics provided by the National Association of Realtors, there has been a stark 25% increase in the amount of buyers flocking to the real estate market in 2013 as compared to the figures obtained last year.

The number of new houses coming into the market has failed to keep up with the pace of the buyers, resulting in an inventory bottleneck. As a result, a lot of markets have seen a gradual increase in the number of foreclosure and short sale homes being sold in a small period of time. Thus, it is suffice to say that the market is gold for foreclosure investing at the moment, and serious investors should definitely keep an eye on the latest foreclosed properties coming out in the open.

According to RealtyTrac, though foreclosing investing is considered to be one of the most viable opportunities for real estate investment in current times, the situation is not looking favorable in all areas. Last year, foreclosed properties made 29% of the total home sales, but the figure has dropped down to 21% at the end of March this year.

States like California, Michigan and Georgia amongst several others are slowly yet gradually recovering from the foreclosure crisis, and there has been a significant decrease in the number of houses coming out for sale through auctions and short sales.

Though this has definitely been good news for homeowners, investors looking for decent deals have to look elsewhere for a profitable investment opportunity. In markets like Maine, New York and Washington, foreclosure listings have surged to triple figures, and this has resulted in a gradual yet noteworthy increase in foreclosed property sales. However, as the mortgage rates are hitting record lows and more and more new homebuyers are jumping into the property shopping bandwagon, foreclosed home require a lot of up scaling and refurnishing to attract potential buyers. The location and neighborhood also play a major role in the number of buyers considering the property as a suitable investment for themselves.

Foreclosure SoldProperty flipping is also on the rise as the inventory continues to shrink, but buyers keep coming back to the market for better and better deals. Property flipping is gradually increasing in markets like Tampa, Las Vegas and Chicago. The main reason for this increase is attractive rates being advertised and the recovery on the economic front. A stark revival is being seen in the job market and employment opportunities, due to which a lot of families are thinking about their first home. As property flipping opens doors to affordable prices and decent houses, a large number of people are gradually drifting from rentals to owning their first single-family home.

All in all, spring 2013 is being touted by experts as one of the best times to invest in foreclosure homes because of the tight economy and rising demand for residential property in the market.

by, Paul Cook: EquityBuild News Contributor

Sources:
Statistics quoted from data collected by the National Association of Realtors and RealtyTrac