Bus tour of foreclosed homes
6/28/2008 7:48 PM
By: Heidi Zhou, News 8 Austin

Prospective buyers getting off the bus to view foreclosed homes for sale. The destination of Prodigy Mortgage's foreclosure bus is the real estate clearance aisle.

"When you go shopping, you want to buy a dress on sale and know it was valued a lot more. So it's the same thing for a house," home buyer Flower De Raadt said. "To me, foreclosure means it's on sale."

She was among 20 bargain hunters who saw six homes in three hours. De Raadt said she is looking for her first house, one that would accommodate her new family.

"OK, is that corner safe right there? I'm looking for those baby proof things," she said.

De Raadt is also learning about real estate investing. She plans to purchase a house, live in it a few years, then rent it or sell it.

It's a smart move, according to Ryan Rodenbeck, a realtor with Castle Hill Investments.

"Although nationally the market is going down, here we're still appreciating," Rodenbeck said.

Foreclosures in Travis County have increased by 42 percent since last year, he said.

A bus tour of a different kind takes prospective home buyers on a trek through the foreclosed home market.

"Some people are losing their homes and that can be sad. But if you're in a place where you can put your money into real estate, you stand in a position to take advantage of the conditions of the market," he said.

Foreclosure bus tours are a recent nationwide phenomenon. Prodigy Mortgage said it's the first to organize one in Austin.

Its tour brought along a mortgage broker, realtor, inspector and property manager to make the experience a one-stop-shop.