Thursday, January 26, 2006

Screaming Sellers in Fresno

Agents in Fresno are getting an ear-full from frustrated sellers in Fresno, according to the Fresno Bee:

...With fewer sales and a climbing inventory of houses for sale, prices appear to be flattening or decreasing. "We're seeing across-the-board price reductions," Dobbs said, characterizing what she called a return to a "normal" market. She cited a recent 24-hour period when 107 houses went up for sale and only 35 others were listed as a "pending sale" by the Fresno Association of Realtors.

That's a departure from nine months ago when appraisers, loan officers and others had an abundance of work. "Pest control companies are looking for business again," Dobbs said. "Mortgage people have lots of time on their hands. We can get an inspection done in 48 hours instead of two weeks. "We called in for an appraisal, had it done on a Saturday and it was on the lender's desk on Tuesday instead of 10 days or two weeks."

Real estate agent Cliff Lloyd said some sellers are frustrated.

"The sellers are screaming because their homes are staying on the market 60, 90, 100 days when last summer they would sell in weeks or days. I had a home sell in an area for 10% less than the same house did six months ago," said Lloyd, of RE/MAX Gold in Fresno. "There is going to be a real adjustment for the industry this year."

Mike Gilmore, who owns The Mortgage Professionals, said his loan activity has tumbled 20% in the last quarter. Some of that could be seasonal, "but some of that is a market correction," he acknowledged.

Still, he doesn't forecast a bubble bursting...

Darn! I guess no bursting bubble until the screams get louder!


sjvdude said...

You can see that thing have change here in the Central Valley..We will see that this Valley can't support the 20-30 % Y_O_Y increases caused by speculators and panic buying.. I am seeing many people at work getting nervous about sellig their curent houses to make that move up..I believe they might be hearing the music stopping in this game of Musical chairs.. Just in August they claimed (Local Assc. Of Realtors ) that there was only 800 houses in the Fresno/ Clovis area. Now there are 3100 and growing.. I supect that when the speckers hit the doors we will see another 1500-2000 hit the market surpassing the 4400 in 92'.. Who knows what the ARM / IO bloodbath will add to the total..

crisp&cole said...

There will be blood in the streets up and down the valey! From Bakersfield to Sacramento and everywhere in between inventories are building and sales are slowing dramatically! Its gonna be ugly, however, those of us who are informed citizens who live below our means will surivive and be able to take advantage of the opportunites in the coming years.