No matter the area, Birmingham-Hoover, Mobile, Huntsville Montgomery, Tuscaloosa or any other metropolitan area of the state of Alabama no area is free from foreclosures and the reduction of home prices. No price range has a lock on how to keep their neighborhood safe from banks that made risky loans to people who could not afford the mortgage.
Invest in Alabama foreclosure listings while the market is soft. The stock market is a unpredictable the best of days during the best of times, but people will always need a roof over their heads.
Read more about AL foreclosure listings 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 check out what options are available to you. Your options will depend on your particular situation. Situations may depend on where in Alabama the particular home located, how much is owed and how much the home is currently valued.
Alabama is a sparsely populated state with pockets of metropolitan areas and cities. The foreclosure rate in Alabama is roughly the same as the national average. This relative stability is mainly due to the stability of the population. Alabama has seen a recent increase in manufacturing jobs and related fields and has not experienced the spikes in unemployment that many other states have endured.
Most AL foreclosure listings are in Birmingham County, Mobile County, Huntsville and Montgomery Counties as these are the most densely populated areas of the state. It is not because these areas have a citizenry that has a lower or higher propensity to go to foreclosure through some unseen economic force.
Q. Does this mean that people in these areas don't pay their bills or that there are no jobs in these countries?
A. No, this is because these counties are the most densely populated in the entire state of Alabama, concurrently the higher the population the more mortgages and the more foreclosures.
Q. Does this mean that people have given up or are leaving the state of Alabama in higher numbers than other states?
A. No, Alabama has seen fairly stable employment figures as compared to most states. As of this writing Alabama has less than half of the unemployment of Nevada.
Q. Does this mean that the average cost of a home in Alabama has lost more of its value than other states?
A. No, Alabama has faired the economic decline far better than most states. Alabama has a less transient population than most other states. The annual population increase of Alabama is approximately half the national average which indicates that there is a more sustainable economy that does not rely on booms and is less likely to experience busts.
Q. Is Alabama be affected by a higher number of properties losing their value?
A. Alabama has been blessed with new manufacturing jobs and like any other state with a stable economy the recent economic woes have not hit Alabama quite as hard as other states that have seen a down turn in their manufacturing base. Is this because Alabama's three major auto plants - Mercedes in Vance, Honda in Lincoln and Hyundai in Montgomery are not unionized? That is up for conjecture.
Sub-prime mortgages have affected us all, even if you don't have a sub-prime mortgage. Let's say that four houses on one cul-de-sac were all built by the same builder and all cost the same and were all bought the same day. Three of the houses had the normal 5% down and the mortgage was fixed. But that one house in the corner the one with the pretty blue shutters was bought by some one who used a sub-prime loan. This means that they bought the house without their hard earned savings (zero money down) they were not required to prove their income or anything else for that matter.
Well that fourth house with the sub-prime mortgage is probably has an adjustable rate mortgage as well. When that rate went up a couple of points and the home owner did not get that promotion and they bought that new car, you know the one. Well that was the end of their owning that home and now the value of all of the other three homes is reduced by the fact that the fourth house will be sold at a loss to get it off the banks books.
Your house has just lost value and you had nothing to do with it.
I say renegotiate your loan or walk.
It's like opening the mail and getting a bill for $100,000 that you knew nothing about. That bill belongs to the bank not you. It is their loss as they are the ones that set up the situation and profited in the short term while they ask you to pay $100,000 more than your home is worth because of their greed and stupidity.