Brought to you by the CALIFORNIA ASSOCIATION OF REALTORS®

Wed 5/13/2009

Foreclosures up less than 1 percent in April, increase 32 percent from year ago

Foreclosure filings, which include default notices, auction sale notices, and bank repossessions, were reported on 342,038 U.S. properties in April, an increase of less than 1 percent from the previous month and an increase of 32 percent from the same period a year ago, according to a report released today by RealtyTrac®. The report also shows that one in every 374 housing units nationwide received a foreclosure filing in April.

“Much of this activity is at the initial stages of foreclosure, while bank repossessions, or REOs, were down on a monthly and annual basis to their lowest level since March 2008,” said James J. Saccacio, chief executive officer of RealtyTrac®. “This suggests that many lenders and servicers are beginning foreclosure proceedings on delinquent loans that had been delayed by legislative and industry moratoria. It’s likely that we’ll see a corresponding spike in REOs as these loans move through the foreclosure process over the next few months.”

Foreclosure activity in California decreased 10 percent in April compared with March, although the state still posted the nation’s third highest state foreclosure rate in April, with one in every 138 housing units receiving a foreclosure filing during the month. Total foreclosure activity in California was up 42 percent last month compared with the same period a year ago, according to the report.

To read the full story, go to

 http://www.realtytrac.com//ContentManagement/PressRelease.aspx?channelid=9&ItemID=6379

 Los Angeles Times

House hunting?  It’s not a buyer’s market everywhere

Some potential home buyers, especially first-time buyers, may be misinformed about today’s market, believing that all sellers are desperate and will accept any offer.  However, in many desirable, middle-class neighborhoods, bidding wars are prominent and buyers often have to make offers slightly above the asking price.

MAKING SENSE OF THE STORY

• Although California’s median home price – the price point where half of the homes sold for higher and half for lower --  was 39 percent lower in March than a year ago, many of the sales taking place are in areas, such as the Central Valley and the Inland Empire (Riverside and San Bernardino counties), which have higher foreclosure rates.  These regions offer home buyers better opportunities to purchase homes at extremely low prices.
• The housing market is often characterized as having three pricing segments: under $500,000, $500,000 to $1 million, and more than $1 million.  Homes in the under-$500,000 segment have accounted for the majority of the state’s price declines thus far.

  • As real estate is local, a home in one neighborhood with the same square footage and amenities may not sell for the same price as a comparable home in a neighborhood one mile away.  By working with a REALTOR® familiar with a specific area, home buyers should be able to submit reasonable offers that are more likely to receive seller approval.

   

  To read the full story, go to

  http://www.latimes.com/classified/realestate/news/la-fi-cover3-2009may03,0,7623052.story