Home market watcher Steve Thomas at Re/Max Real Estate Services in Aliso Viejo reports that the number of O.C. distressed properties (homes listed by agents as foreclosures or short sales) was 5,678 last week, up 457 vs. two weeks earlier or a 8.8% increase.
As a percent of all listed homes for sale, distressed properties were 36.7% of the market last week vs. 33.4% two weeks earlier. But since Dec. 27, while the number of distressed homes on the market has grown 1,927 , the non-distressed supply is 1,985 lower.
Here’s a look at various slices of the O.C. market as of last Thursday: total inventory listings; distressed property listings; and the share distressed listings have of total inventory supply on a percentage basis in each niche …
| Slice | All inventory | Distressed | Share |
|---|---|---|---|
| By price … | |||
| • O.C. $0-$500k | 6,875 | 4,365 | 63% |
| • O.C. $500k-$750k | 4,167 | 969 | 23% |
| • O.C. $750k-$1m | 1,750 | 247 | 14% |
| • O.C. $1m-$1.5m | 1,184 | 110 | 9% |
| • O.C. $1.5m-$2m | 654 | 30 | 5% |
| • O.C. $2m-4m | 761 | 13 | 2% |
| • O.C. $4m+ | 253 | 1 | 0% |
| All O.C. | 15,457 | 5,678 | 37% |
| • Attached | 5,732 | 2,403 | 42% |
| • Detached | 9,723 | 3,274 | 34% |
| County high share … | |||
| • Santa Ana | 1,646 | 1,123 | 68% |
| • Anaheim | 1,228 | 792 | 64% |
| • Garden Grove | 658 | 393 | 60% |
| County low share … | |||
| • Corona Del Mar | 173 | 2 | 1% |
| • Laguna Woods | 404 | 7 | 2% |
| • Laguna Beach | 341 | 13 | 4% |
Related Links:
- Banks offer 20% off foreclosed homes in O.C.
- Riding the foreclosure bus
- Is your neighborhood in foreclosure danger?
- U.S. foreclosure filings rise 112% in a year
- O.C. foreclosure intensity surpasses 1990s
“since Dec. 27, while the number of distressed homes on the market has grown 1,927 , the non-distressed supply is 1,985 lower.”
This is fascinating. So the distressed inventory (where some have claimed the vast majority of the market action is) is rising and will continue to rise considering the number of foreclosures in the pipeline, while the “regular” inventory is down. Are those owners just not listing their homes for sale? Or are some of those non-distressed properties moving over and becoming distressed properties over time?
We wouldn’t be having this “mortgage crisis” if a higher percentage of the populace were able to do grade school arithmitic with the aid of a cheap calculator. Before I bought my first house in 1987, I read books about mortgages so I could read and understand a mortgage contract. I then read and understood the contract and made an informed decision. Why didn’t these idiots who caused this mortgage crisis? Rather than listening to the lender and buying the most expensive house I could barely afford, I bought a house I could easily afford at 1.6 times my income at the time. The proper way to buy a house is to educate yourself about the process, read all documents, and do the math ahead of time to figure out what you can afford. Failing this, get a second job, pay the higher payments, and live up to the agreement you make when you signed on the dotted line. Seriously, do you have any idea how stupid you have to be to take on a negatively amortizing adjustable rate mortgage to buy a house you can barely afford at the introductory rate, and to then be surprised when the payment adjusts to more than you can afford?
Oops, “demand” reflects the rise in distressed deals and the shorter market time reflects those deals’ faster turnaround at auction. Sorry, bagholders, you bought before the firesale.
No one’s data includes auction activity. That activity is in addition to MLS sales.
This is interesting to watch these types of sales creep ever higher up the food chain, and into all of the “right” neighborhoods where that sort of thing isn’t supposed to happen.
How do you go from having a million dollar home to being in deep trouble with the bank? Unless you never should have had that million dollar home to begin with.
Why are people getting excited that some low-end REO firesales in Anaheim and Santa Ana are creating transaction volume, while sales in south OC are down 50%, and this was the worst April since 1995? Prices continue to fall unabated. Foreclosures are getting uglier by the week.
The bottom that is meaningful to buyers, price, is nowhere in sight.
In January here is what Steve Thomas had
By price …
• O.C. $0-$500 45%
• O.C. $500k-$750k 23%
• O.C. $750k-$1m 10%
• O.C. $1m-$1.5m 6%
• O.C. $1.5m-$2m 4%
• O.C. $2m-4m 1%
So looks like 40% increase in the 750K-1mill group, 50% increase in the 1 to 1.5 group from 6% to 9%, 25% increased in the 1.5 to 2mill group and a doubling of the 2 to 4mill group.
All sounds good to me.
November 2007 Stats
• O.C. $0-$500k 33%
• O.C. $500k-$750k 18%
• O.C. $750k-$1m 7%
• O.C. $1m-$1.5m 5%
• O.C. $1.5m-$2m 2%
• O.C. $2m-4m 1%