Developers, Not Speculators, Buying Bank-Owned Properties

CHICAGO—A vast array of Chicago-area properties went into foreclosure during the recession and its aftermath, and bank-owned sales became quite common. But real estate professionals that handle many of these transactions tell GlobeSt.com that a shift has taken place. In the past, speculators that smelled bargains snapped up many of these properties. But today the gathering economic recovery means it is far more likely that developers or owner-occupiers want to take over this real estate.

“You’ve got a wider pool of buyers and investors,” says John R. Homsher, a principal with Podolsky