If you are like a lot of people and see St Louis foreclosures, or REO’s (real estate owned by banks and other lending institutions as a result of foreclosure) as a good opportunity to buy a residence for yourself or as an investment either for rental or for “flipping”, you best have cash and be prepared to “buck up” if you want to succeed! I say this because cash buyers continue to dominate the REO and foreclosure market with 61% of all REO and Foreclosure sales this year in St Louis being cash sales thus far. As the table below shows, while the number of foreclosure sales has declined this year from last year at the same time, the percentage of them going to cash buyers has not.
Good deals on St Louis foreclosures are selling fast and often for list price or more.
For the month of February, in the five county core St Louis market (city of St Louis and counties of St Louis, St Charles, Jefferson and Franklin) there were 273 foreclosure or REO homes sold and they were sold, on average, at 98% of list price. If we drill down a little and find the “best” deals out of the gate, the ones that sell in the first 10 days, there were 48 foreclosure homes sold in February (18% of the overall total number of foreclosures sold) and they sold, on average, for 105% of the list price.
So, if you are planning on buying St Louis foreclosures, cash is king and, for the new deals that hit the market with an attractive price, realize that even a full price offer may not buy it. For some personal advice from me on how to be successful buying St Louis Foreclosures and REO’s, read my report here.
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Search St Louis Homes For Sale HERE
