31May2008
Posted by staceysloan under: Housing and Economy; Housing Recovery.
This is not a market for the inexperienced. I am here to answer your questions regarding selling your home or buying another one or entering into real estate investments. There was a lot I didn’t get to cover this month. Like the fact that agents are seeing multiple offers out there, particularly on bank owned properties. They are discounted so heavily to move them off the banks books that they are at fire sales levels. You may lose a home you really would like to buy because you try to low ball the already low price when 10 other offers are also vying for the property. There was a great article about in the Wall Street Journal, “Where Home Prices Are Holding Up” that stated cities, real cities, are hedging the market fairly well. (Answer: Boston, Chicago, New York, and San Francisco) Los Angeles was not mentioned because it is an urban sprawl, as is Orange County. If you would like a copy of this article or another WSJ article on bank owned properties just give me a call. But we may find a great silver lining, which is our weather, labor pool, diversified economy, and best of all; we are nearly built out on space. I predict supply and demand will make a comeback.
bank owned properties diversified economy fire sales orange county real estate investments selling your home silver lining supply and demand urban sprawl
15May2008
Posted by staceysloan under: Housing and Economy; Buying a Home; Housing Recovery; Selling a Home.
Sales data for the first quarter has arrived and for March specifically, prices have hit the 2004 watermark. That means the median price is down almost 20% from a year ago. Both the Los Angeles Times and the Orange County Register reported the Dataquick findings. Obviously a huge contributor to price adjustments is the absorption of bank owned properties that are finally matriculating into the general real estate population. The other factor is that sellers that previously were “testing” the market have wisely taken their homes off the market and only serious sellers remain. That means that motivated sellers realize that their home must be priced to sell and that it will have competition from the bank owned sector. According to Dataquick, the bank owned property typically sells at least 15% below “normal” market prices. Although it could be argued that the housing downturn is artificially deflated because of the bank owned properties, this writer does not agree. That’s like saying if you hadn’t driven the car, you wouldn’t have gotten in the accident. Bank owned properties are germane to this market and will be here for some time. This is not an overnight correction as people are beginning to realize. Don’t misunderstand, there is light at the end of the tunnel. These distressed properties are beginning to move. Read on for the optimist’s view…
absorption bank owned properties distressed properties downturn first quarter light at the end of the tunnel los angeles times median price motivated sellers optimists orange county register price adjustments
13May2008
Posted by staceysloan under: Housing and Economy; Buying a Home; Housing Recovery; Selling a Home.
Sales data for the first quarter has arrived and for March specifically, prices have hit the 2004 watermark. That means the median price is down almost 20% from a year ago. Both the Los Angeles Times and the Orange County Register reported the Dataquick findings. Obviously a huge contributor to price adjustments is the absorption of bank owned properties that are finally matriculating into the general real estate population. The other factor is that sellers that previously were “testing” the market have wisely taken their homes off the market and only serious sellers remain. That means that motivated sellers realize that their home must be priced to sell and that it will have competition from the bank owned sector. According to Dataquick, the bank owned property typically sells at least 15% below “normal” market prices. Although it could be argued that the housing downturn is artificially deflated because of the bank owned properties, this writer does not agree. That’s like saying if you hadn’t driven the car, you wouldn’t have gotten in the accident. Bank owned properties are germane to this market and will be here for some time. This is not an overnight correction as people are beginning to realize. Don’t misunderstand, there is light at the end of the tunnel. These distressed properties are beginning to move. Read on for the optimist’s view…
absorption bank owned properties bank owned property contributor distressed properties first quarter light at the end of the tunnel los angeles times median price motivated sellers optimists orange county register population price adjustments stacey sloan
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