HOME SALES IN SOUTHERN CALIFORNIA ARE ALL DUE TO FORECLOSURES

By
Real Estate Sales Representative with Royal LePage Northshore

What we have going on right now in Greater Vancouver Real Estate in my opinion is not sustainable. When I look at reports like the one below from David A. Rosenberg of Gluskin Sheff, it gets me scratching my head and wondering not if but when the consolidation will take place.

"According to MDA DataQuick, the number of homes sold in SoCal rose 0.2% MoM in September to 21,539 units and on a year-over-year basis, home sales are now up 5.1%. However, most of the sales were attributed to foreclosures, which accounted for 40% of the homes/condos sold in the area, and it was probably also boosted by those taking advantage of the federal tax credit for first-time homebuyers, which expires at the end of November. As a result of these fire-sales, the median home and condo prices in Southern California fell 11% YoY in September, to $275,000. Overall, the state of the housing market in California remains clouded as the number of foreclosures that will hit the market are unknown at this point and what happens after the tax credit expires."

www.AlphonseQ.com

Comments (1)

Alix Pinzon
Open Mortgage, LLC NMLS # 2975 - Downey, CA
(562)743-6086

Yep!  The funny thing is that the foreclosure properties are out there, but the banks haven't put them on the market yet.  So there's a feeding frenzy over the current inventory.  It's a double whammy.

Oct 14, 2009 07:30 AM