A sign posted last year on the Bexar County Courthouse lawn said that foreclosure sales had been canceled. Since then, such foreclosure auctions have resumed as homeowners are finding it more difficult to sell.SAN ANTONIO — San Antonio families facing foreclosure are finding it more difficult to sell their homes as a market that was red-hot during the coronavirus pandemic shows signs of slowing down.
Foreclosures involving traditional loans declined as a result of moratoriums and assistance programs earlier in the pandemic, but have since risen. Reverse mortgage foreclosures also seem to be increasing, Rogers said. After the moratoriums ended, postings began inching up and increased sharply this summer as rising mortgage rates and prices sidelined prospective buyers.
A year ago, hedge funds were buying 80 percent of the properties going to auction, Roddy estimated. Many investors had been paying 95 to 100 percent of a property’s market value at auctions, expecting homes to appreciate. “I definitely think this is an opportunity for the mom-and-pop or the guy who wants to go flip one house or start a small rental portfolio,” Roddy said.Roddy expects postings to continue to gradually increase each month to pre-pandemic levels as the market cools.People wind up facing foreclosure due to job losses, reduced work hours, divorce, medical bills and health crises, or they don’t realize “the severity of a situation” until it’s too late, Rogers said.
If not already available, the city should provide a free educational program on everything anyone needs to know about how to purchase, maintain ownership and sell their home.