The number of foreclosures in Orange County is going down. As a result, real estate buyers know that these Orange County foreclosures may hold good deals for them. In fact, buying a home in foreclosure in Orange County is becoming so competitive that some investors are scrambling to find qualifying properties.
One of the reasons that Orange County foreclosures are so popular is the projected discount. While tales of 50 percent discounts are vastly exaggerated, buyers nonetheless find deep discounts when judging these homes against comparable properties in the neighborhood. A highly desirable neighborhood to begin with, these homes generally offer a lot of curb appeal.
Properties in foreclosure in Orange County also represent an attractive real estate market because often times the homes usually do not require a huge amount of interior renovation. Many of the lenders which own these homes have come to understand that if they minimally improve these homes, it is much easier to get closer to market value. So many of Orange County foreclosures are move-in-ready and only need minimal amounts of cosmetic work to satisfy the new owners’ tastes. However, most of the time this is not the scenario. Due to the poor condition of the majority of these homes, investors and savvy homeowners purchase them below market value in order to conduct the improvements themselves and realize the "sweat equity". Buying a foreclosure is always a "buyer beware" case and you should seek the advice and counsel of a licensed real estate professional.
Buying a foreclosure in Orange County can be a good investment due to the appreciation that often occurs. Since these Orange County foreclosures usually sell at a discounted rate, a buyer can build equity easily and almost immediately. Given that the real estate market in California has been historically strong, buying a house in foreclosure in Orange County actually helps the investor or home-buyer to build asset value faster than when choosing a non-distressed property.