Arizona Real Estate Notebook

The Arizona Republic has a front page above the fold article on foreclosures.

They are trying to make a mountain out of a mole hill. Foreclosures may be twice what they were in April but nevertheless, foreclosures are still low.

Maybe they are just ahead fo the curve. Next year, foreclosures are going to take off in Arizona.

Tom Ruff, a local expert on foreclosures told me many months ago that foreclosures tend to peak 24 months after the purchase.

If you purchased before the spring of 2005 and you get into a jam financially, you probably have enough equity to sell your home, make a buck and avoid foreclosure.

However, it’s coming up on 2 years for those who purchased their home after the spring of 2005.

If they hit a rough patch economically and can’t make the payments and they didn’t put any money into a down payment to begin with, then they are at risk for foreclosure. They can’t make the payments and they can’t sell the house for what they owe on it.

“Mortgage troubles are rising ; Valley foreclosures nearing 2-year high”

[Hat tip to Clay]