North Texas Real Estate Blog

With the growing number of foreclosed properties on the North Texas real estate market, in cities such as Keller TX and Roanoke TX, the federal government has made some strides at slowing the decline in property values and helping to revitalize neighborhoods that are becoming victims of subprime lending practices. Government funds have been allocated to cities and nonprofit organizations to buy foreclosed properties and make repairs to make them ready for resale or hold on to them for resale when the market shows signs of recovery. The cities and nonprofits can use the profits made from the sale of these homes purchased with government funds to reinvest in other homes or rehab other foreclosed properties.
Many homeowners are faced with declining property values due to the high number of foreclosures. Although the funds are not available to those who are struggling to make their house payments or for those that have already lost their home to foreclosure, it is an attempt to preserve neighborhoods that are showing signs of decline due to the increasing number of vacant and neglected homes.
The decision of which neighborhoods will benefit most from the funds is a difficult one and will not solve the problems that the real estate market is currently facing. It may be years before we will know if the decisions made today will pay off in the future. Many newer neighborhoods with homes that are just four or five years old are getting hit hard with foreclosures, partly as a result of subprime lending, but also as a result of increasing unemployment and a weakening economy. Maintaining a neighborhood’s desirability is vital to preserve property values and to sustain the local economy. The cities are challenged with making decisions that are the most likely to be profitable in the future.
There are some funds that are being made available to low to moderate income homebuyers, but the buyer must have good credit to qualify. There are also down payment assistance programs available to qualified buyers. There are restrictions on the use of the property and how long the buyer must reside in the home. There are several websites that have more detailed information on down payment assistance programs and local neighborhood stabilization programs.
For more information, contact Dave or Betty Warden at 817-706-3291.