Where Have All the HUD Foreclosures Gone?

                 

  Foreclosure.com Offers Insight on the Effect HUD's Management & Marketing
          Contractor Transition Process Has on Foreclosure Inventory

    BOCA RATON, Fla., Nov. 5 /PRNewswire-FirstCall/ -- Real estate investors
in states such as Arkansas, Iowa, Kansas, Kentucky, Louisiana, Missouri,
Nebraska, New Jersey, New York, North Dakota, Tennessee, Vermont and Wisconsin
have been finding an unusual number of HUD foreclosures available for sale --
zero.  Throughout the rest of the country, investors are finding only a
minimum numbers of assets.
    Why is this?  HUD has awarded new Single Family Management & Marketing
(M&M) Contracts for their foreclosed properties.  This event, last done in
1999, is a monumental task for HUD.  The transition process from the old
contractors began on October 1, with new inventories slowly hitting the market
on November 1.  New contractors should be up to full speed by January 1, 2005.
During this transition of contractors, information on HUD foreclosures becomes
intermittent for up to the full three months.
    "This transition will definitely create a backlog of HUD foreclosures over
the next two months as the properties are transferred between contractors and
the new contractors become familiar with HUD's disposition program.  While HUD
foreclosure inventories should be back to normal levels by the beginning of
2005, this backlog will create a higher than average inventory of HUD
foreclosures during the first quarter of 2005.  This presents a very good
investment opportunity for those who follow the inventory closely," said Greg
Sullivan, vice president and co-founder, Foreclosure.com.
    HUD has published a list of their current and new M&M contractors at the
following URL: http://www.hud.gov/offices/cpo/primes/mandm.cfm. Detailed
information on all HUD foreclosures in the U.S. is also available at
http://www.foreclosure.com/.

    About Foreclosure.com
    Based in Boca Raton, Florida, Foreclosure.com is committed to delivering
the most comprehensive, up-to-date database of residential foreclosure
properties in the United States to its customers and business partners through
its cost-effective, Web-based subscription service.  With established
relationships with hundreds of the top lending institutions and government
agencies, the company has access to the nation's largest inventory of
residential foreclosure real estate, including Real Estate-Owned (REO)
properties; Department of Housing and Urban Development (HUD), Department of
Veterans Affairs (VA), Fannie Mae, and other government agency and financial
institution properties; as well as listings from an extensive network of
corporate sellers.  On the Net: http://www.foreclosure.com/

     Irene Savage/Tristam Wallace
     Harpell, Inc.
     781-274-9148/781-274-8710
     mailto:%20isavage@harpell.com/twallace@harpell.com