FDIC Selling Off Detroit Inventory
The Federal Deposit Insurance Corp. is having no trouble keeping busy these days. In fact the agency’s head just announced this week that it has adjusted its estimate of how many of the nation’s banks are seriously in trouble of going out of business this year upward from 90 in Q1 2008 to 117 now.
So it’s no wonder that it has no time to play nursemaid to a bunch of foreclosed real estate in foreclosure-laden Detroit, Mich.
In all, the agency has contracted with the J.P. King Auction Company of Gadsden, Ala., to auction off 83 properties ranging in values from as low as $2,500 up to a home in the Grosse Pointe area that was recently listed for $1.3 million.
The property mix will include single-family, duplex, triplex and commercial properties plus land. Locations include Wayne, Jackson, Eaton, Genesse, Tuscola and Lenawee counties.
With one in every 176 households receiving a foreclosure filing during July, the Detroit metro area had the 18th highest foreclosure rate among the 230 MSAs reported by RealtyTrac for the month.
Reporting 4,781 properties with foreclosure filings for the month, the Detroit metroplex saw a 10 percent decline in foreclosure activity from the previous month and was 45 percent below the activity level reported in July 2007.
For real estate investors looking for a long-term buy and hold investment strategy, this auction may be a good potential source of bargain properties to consider.
The auction is set for 2 p.m. on Sept. 30, 2008, at the Rock Financial Showplace.