No matter the area, Dallas-Fortworth-Arlington, Houston-Sugarland-Baytown, San Antonio-New Braunfels, or Austin-Round Rock-San Marcos or anywhere in between no area in Texas has been left unchanged by the increase in foreclosures and the reduction of property values. No price range has been left out of the and no neighborhood has been undamaged to some degree by banks that made risky loans to people who could not afford the mortgage.
You should be buying foreclosure properties now. The stock market is a complete mess on the best days but people will always need a roof over their heads, especially in the unpredictable weather that Texas is famous for.
Read more about how to buy foreclosures and educate yourself on the communities you are most interested in or start shopping here for the foreclosure home that meets your needs. If you are facing a pending foreclosure call a local real estate professional and determine what types of opportunities you want to pursue. Your options will depend on your particular situation. Depend on where in Texas your home is located, density of population, which can vary widely in the state, how much is owed on the home and how much the particular home is worth.
Texas is the largest state in the continental United States with population pockets in and around its major metropolitan areas as well as spread out over a state that is larger than the entire country of France.
The foreclosure rate in Texas is slightly higher than the national average and is exaggerated because of its unusual development patterns due to a series of Booms and Busts that have spiked and dropped such industries as oil, dotcoms and real estate.
Most foreclosures in Texas occur in the Houston, Dallas, Fort Worth, San Antonio and Austin. These cities also represent the largest and most densely populated metropolitan areas of Texas which is the common denominator between all foreclosure pockets.
Q. Does this mean that people in these areas don't pay their bills or that there are no jobs in these Cities?
A. No, this is because these Cities are the most densely populated in the entire state of Texas, concurrently the higher the population the more mortgages and the more foreclosures.
Q. Does the high number of foreclosures mean that people have given up or are leaving the state of Texas in droves?
A. No. Texas, partly because of its business friendly tax policies creates population surges whenever a new industry gains traction. Texas has the distinction of being the home of 58 of the businesses listed on the Fortune 500.
Q. Does this mean that the average cost of a home in Texas has lost more of its value than in other places?
A. Very likely. People are more likely to let their home go to foreclosure and walk away the higher the percentage of lost equity and the more upside down they are on their mortgage.
Q. Why would Texas be affected by a higher number of properties losing their value?
A. Texas has been called the California of the south with its warm weather and friendly people which create migration from other states with colder climates. People move to Texas nearly 5 times more often than to states in colder climates.
This transient population and influx of new citizens into Texas keeps the cost of homes relatively stable until something such as the mortgage crisis occurs.