Sales Are Sprouting Up All Over
March 23, 2009
The announcement on the financial news this morning that real estate sales are up 5% nationwide and 30% in California should not have been a surprise to those who read this blog. Each month now, for over a year, I have been posting the number of closed transactions and of pending sales. Spring of 2008 was a low point in the volume of sales taking place. Gradually as the year wore on, and as prices declined, buyers began to reenter the real estate market.
I am anxious to check the numbers next week to verify that the real estate market is reviving.
It is interesting to note that the government is calling for private investors to purchase the "toxic assets" form the banks. In one sense, private investors are already buying up these assets in the form of single family homes. While many of the buyers are definitely purchasers who are finding homes affordable, there are also investors who see the opportunity in the purchase of these properties. Here are the numbers for properties that have been removed from banks' non performing assets. (I just sampled two of the communities that I have been tracking.)
The IMRMLS reported that Redlands closed 118 single family home transactions since the first of January 2009. Of these sales, 53 were bank owned properties and 15 were short pay sales.
In Moreno Valley, which according to my research has the most active real estate market of the 14 communities that I trace, there were a total of 983 closed home sales since January first 2009. Of these, 747 were bank owned and 53 were short pay.
If the banks could figure out a more efficient way to process shot pay sales, the proportion of short pay to bank owned could be improved and the "toxic assets" would be absorbed without the length foreclosure process. In the meantime, there are fantastic opportunities to purchase homes at bargain basement prices.
The announcement on the financial news this morning that real estate sales are up 5% nationwide and 30% in California should not have been a surprise to those who read this blog. Each month now, for over a year, I have been posting the number of closed transactions and of pending sales. Spring of 2008 was a low point in the volume of sales taking place. Gradually as the year wore on, and as prices declined, buyers began to reenter the real estate market.
I am anxious to check the numbers next week to verify that the real estate market is reviving.
It is interesting to note that the government is calling for private investors to purchase the "toxic assets" form the banks. In one sense, private investors are already buying up these assets in the form of single family homes. While many of the buyers are definitely purchasers who are finding homes affordable, there are also investors who see the opportunity in the purchase of these properties. Here are the numbers for properties that have been removed from banks' non performing assets. (I just sampled two of the communities that I have been tracking.)
The IMRMLS reported that Redlands closed 118 single family home transactions since the first of January 2009. Of these sales, 53 were bank owned properties and 15 were short pay sales.
In Moreno Valley, which according to my research has the most active real estate market of the 14 communities that I trace, there were a total of 983 closed home sales since January first 2009. Of these, 747 were bank owned and 53 were short pay.
If the banks could figure out a more efficient way to process shot pay sales, the proportion of short pay to bank owned could be improved and the "toxic assets" would be absorbed without the length foreclosure process. In the meantime, there are fantastic opportunities to purchase homes at bargain basement prices.
posted by shirley harry at 7:55 AM
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