Sacramento: The Foreclosure Leader
From the Central Valley Business Times:
With the Central Valley leading the way, 5,316 homes were lost to foreclosure sales in March in California, according to figures compiled by Foreclosure Radar, a Discovery Bay-based foreclosure listings and software company.
The homes sold at auction last month represented a 27 percent increase from February and a 264 percent increase in the last six months, the company says. Of the $2 billion worth of properties sold in March, 4,796 went back to the lender after receiving no bids, representing $1.82 billion, it says.
...
The real foreclosure leaders are in the Central Valley, the company says. Four of the state’s top five counties for foreclosure sales last month, on a per capita basis, are in the Valley.
Sacramento County ranks first with 2,605 residents for every sale. Neighboring San Joaquin County is third, one sale for every 2,872 residents. Yuba County is fourth, at 2,909 residents per sale and Stanislaus County is fifth with 3,597 residents per sale.
...
"Foreclosures sold at auction now account for 15 percent of all home sales in California and continue to rise," says Sean O'Toole, CEO and founder of Foreclosure Radar. “This isn’t just a story about failing subprime lenders and their customers. At the current pace, foreclosures will be a significant part of the real estate economy.
4 comments:
Aside from the obvious, such as companies and websites making money off selling lists of foreclosed properties to prospective buyers -- how do you all suppose business will rush in to take advantage of the high foreclosure rates?
As the novice real estate investor loses their appetite, the hard core investors will gain a monopoly on the foreclosure auctions and will bid low, very low and these guys will actually collude in order to keep the bidding low.
Buy low sell high, call me old fashioned, but that is how you make money.
From a poster on Ben Jones greatest blog ever.
Yahoo has teamed up with RealtyTrac to create a new site dedicated to foreclosures:
http://realestate.yahoo.com/Foreclosures
It’s showing that nationwide there were 569,347 foreclosures available and 16,337 in sales. It looks like banks are just holding on to properties.
Wow do you think this is accurate?
Is this correct...less than 10% of all foreclosure auctions reslulted in sales?
If 15% of all California real estate sales are foreclosure sales, and only 10% of those sell, inventories will soar over the next several months.
What's wrong with these buyers, don't they know a good deal when one comes along?
If this keeps up, in 6 months, lenders will add over 50% more property to their inventory roles. In less than a year it will double. And the resets are just getting warmed up.
The banks will have no choice but to blow these homes off their balance sheets at prices even the vultures will pay for.
This is no time to buy. Wait for the banks to hand you the keys and write you a check.
PS, if those numbers you quoted off the yahoo site are right, look out below.
Post a Comment