Auction May Give Tennessee, Georgia, Alabama Mortgage Seekers an Opening

Looking for a great deal on a home you actually can afford with a modest Alabama, Tennessee or Georgia mortgage? Today just might be your lucky day.

According to the Birmingham Business Journal, Hudson & Marshall, Inc., will host a real estate auction in which 15 foreclosed properties in Alabama and more than 200 properties in Georgia and Tennessee are sold off month.

The Dallas-based company said in a news release that the real estate up for sale is currently owned by mortgage lenders and asset management companies across the U.S., some of which purchased the properties after foreclosure.

The value of the properties to be auctioned range from $10,000-400,000, and in addition to low asking prices, there’s another incentive for aspiring buyers.

Each home will come with title insurance, effectively guaranteeing there are no back taxes due or liens on the properties. This is a big deal for someone buying a foreclosed property.

In the past eight years, Hudson & Marshall has sold more than 40,000 houses on behalf of many a mortgage lender looking to get out of the property managing business ASAP, as well as on behalf of investors who gobble up distressed homes and look to flip them for a quick profit.

And as we’ve discussed, the market for this kind of activity is heating up.

Foreclosures have skyrocketed across the United Sates in recent months, and the south, where more people are having trouble paying their Florida and Tennessee mortgage loans (among others) is no exception.

For the month of October, Alabama, to use just one example, had a total of 519 properties in foreclosure, an increase of 228 percent compared with October 2005.