Wednesday, October 7, 2009

Rutherford County Tennessee: Foreclosures up 22% in 2009 versus 2008

Rutherford County TN: Foreclosures up 22% in 2009 versus 2008

According to this article, Growth slower, but still strong, "Rutherford County ranked 36th nationally in residential housing growth over the first six years of this decade but dropped to 68th during a recession the last two years, the U.S. Census reported. The county as of July 1, 2008 had 101,708 housing units, representing a 44 percent growth from the 70,616 units in April 1, 2000, according to a Census study of the 100 fastest growing counties with at least 5,000 housing units."

The article mentions that Rutherford County Tennessee is a great place to live. I agree with this. However, in my opinion, the most important information stated in this article is "The slumping economy has included an unemployment rate above 10 percent and a rise in foreclosures. The county since Jan. 1, 2008, has had 1,609 sales of foreclosed property, representing 13.3 percent of the 5,791 real estate transactions, according to the Property Assessor's Office. In 2009, the county has had 721 sales of foreclosed property, representing 16.2 percent of the 4,363 transactions so far. Overall, foreclosures are probably representing around 1.6 percent of the county's 105,410 parcels, Deputy Assessor Bill Gibbs said."

There are a couple of important points to make here:

  • The 10%+ unemployment rate in Rutherford County TN is not good.
  • The 22% increase (16.2% in 2009 versus 13.3% in 2008) in the percentage of total real estate sales in Rutherford County TN that are foreclosures is also not good.
  • The Rutherford County TN foreclosure figures above do not include short sales and other non-foreclosed distress sales.  While the article did not provide information regarding these figures, I have done my research via the Middle Tennessee MLS and have found that in 2008 there were a total of 3,762 Closed Sales in Rutherford County TN and 285 of these sales were short sales and foreclosures.  In 2009 YTD so far there are a total of 2,596 Closed Sales with 437 of these sales being short sales and foreclosures.  This means that so far in 2009 short sales and foreclosures are accounting for 16.8% of all sales.  Since many distress sales (i.e. short sales and foreclosures) are not put into the MLS and not all short sales and foreclosures are properly identified in the MLS I think it is reasonable to conclude that short sales and foreclosures could easily make up as much as 20% of the real estate sales in Rutherford County TN in 2009. Given the high unemployment rate I see no reason why this percentage will decrease any time soon.

If you are a homeowner in Middle Tennessee who is unemployed or suffered a reduction in your income and has been turned down for a loan forbearance or loan modification and your home is worth less than your mortgage balance, please contact me to discuss selling your home via a short sale. I am a Middle Tennessee distressed real estate, short sale, pre-foreclosure (preforeclosure) and foreclosure expert and REALTOR. I serve real estate owners, homeowners and investment property owners in Rutherford County TN, Williamson County TN, Davidson County TN, Murfreesboro TN, Smyrna TN, La Vergne TN, Eagleville TN, Lascassas TN, Rockvale TN, Christiana TN, Brentwood TN, Franklin TN, Nashville TN and Belle Meade TN.

If you need to sell your home fast via a short sale you can my request help on my website at Get Help and Assistance from a Middle TN Short Sale and Foreclosure REALTOR.

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