Milwaukee County WI Foreclosure Homes
Dec 8, 2009 | Filed under Foreclosure Homes | Comments (0)
Up until last summer, the thought of huge numbers of foreclosure homes existing in Milwaukee was unheard of but at the time of writing there were 5,450 foreclosure filings ongoing in the Milwaukee area which is an incredible rise from the preceding years.
Many would see this as a sign of widely available investment properties being on the marker, but would-be investors should be wary. Although the prospect of 40-50% discounts may look attractive, these properties are often sold unseen and they can be a disaster. Residents being force out of their properties by bank repossessions are prone to acts of destruction and vandalism in what was their own home; ripping out appliances and tearing up floorboards in an attempt to make the houses completely uninhabitable.
If past residents leave the properties in good condition then there is still the possibility of vandalism during the period the foreclosed house is on the market waiting for the lengthy process to be completed. Squatters are as likely to see an opportunity as an investor. Auctions are blind, so you may not know what you are getting yourself into.
Many investors are well prepared for these eventualities and have a team of expert electricians, plumbers, lawyers and carpenters ready and waiting to resolve such issues, but these are seasoned investors and not personal buyers looking to get hold of cheap housing for themselves.
Whilst the population of Milwaukee struggles to make a living in whatever way they can, the figures are grim reading. Unemployment in the area is sat at around 8%, nearly 2% higher than the national average. In fact Milwaukee is second in the nation, behind Detroit whose unemployment figures are way up at 15%. Of the 50 cities in a recent survey all but 10 had a rate below 6% in August 2008. Compared with other large cities, Milwaukee has a low number of college educated residents and a high degree of segregation. This is a unique challenge to try and increase future growth and many are recommending ‘big bang’ infrastructure investment projects which, given the current economic climate could be difficult. It is assessed that the private markets are simply not providing enough job opportunities and this slack job market is leading to increased numbers of people defaulting on their mortgage repayments and a higher number of foreclosure homes.
One non-profit employment organization was quoting the difficulties of African-Americans to gain re-employment following a period in prison with one in five of their last 500 placed job seekers having a criminal record of some description. One thing is accepted by all, increasing employment is the priority for Milwaukee in an attempt to reduce the number of repossessions.