Whats up with the California Moratorium?

The numbers are in:  Data Quick numbers show 833 houses and condos were foreclosed on in June ‘09 in OC. Up 41% from May and 31% from the year before.

4,052 properties were seized in Orange County down 26% from the first half of 2008.

Not that we didn't know they'd be high.

Loan modifications are only working out about 50% of the time. The California Foreclosure Prevention Act had only stalled the inevitable with this 90 day moratorium. The  Assembly Bill X2 7 the Terminator signed in February was duped by banks who filed for exemptions giving them a loop-hole buy showing they have already had a modification program in place. The law impacts loans made from 2003 to 2007. One of the methods for loan modification is lowering the interest rate or to extend its term to 40 years. If the servicing contract says foreclosure is preferable to a loan modification, nothing in the law stops foreclosure. Was it a sham? Did "We the People", get the wool pulled over our eyes again? Will we ever learn?

Let us switch to some positive news in the real estate market. We are at a 9 month high with a 6.4% price increase showing in May from the last two years. California with one of the highest unemployment rates in the nations needs confidence that the housing market has hit bottom and is on its way back to some sort of normal arena. Any big surge in mortgage foreclosures could hurt a greatly desired recovery. We are in a delicate balance. I urge anyone who has considered buying a home to get out there now and start the hunt. You couldn't ask for a better time to buy a home with interest rates down. They are not going to stay that low forever. I just browsed a dozen homes ranging from 125k to 199k. They were all 3 bedroom homes 1100 sqft or more. P E O P L E! What is it going to take to make you get out there and create the lift that this state needs? We Realtors are willing to work with those short sales now! Well I am willing!

Stats: Medium home $250k - June homes above 500k rose 20% - Typical monthly mortgage payment in So-Cal for buyers was $1,193 last month - 23,262 new & resale homes closed in June. Call me if you live anywhere near:  La Habra, La Habra Heights, Fullerton, Brea, Whittier, La Mirada, Buena Park, Hacienda Heights, Friendly Hills, Mar Vista Heights, Orange, Anaheim, Santa Ana, Pico Rivera, Azusa, Covina, etc.

Renee Baccaro Realtor®