Long, Home Buyer in 94598

Short sale in Pleasanton, Ca

Asked by Long, 94598 Thu Feb 11, 2010

Recently, there are quite a few short sale in pleasanton, CA. Is this indicate there will be new wave of forclosure in 2010.

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Answers

8
Hi Long,

There are a number of reasons why foreclosure inventory will continue to mount; however, as stated by the other posters below, do not expect a flood. REO Shadow Inventory does in fact exist, the 5 main causes of which I cover in detail here:
http://www.trulia.com/blog/steve_ornellas_mba_re_mastersgri/…

Yesterday I finished a quick follow-up to the post above that specifically addresses one of the main reasons of REO Shadow Inventory: an ineffectual loan mod program. Anyone looking to run the Gauntlet of a Loan Mod will find it very informative and eye-opening:
http://www.trulia.com/blog/steve_ornellas_mba_re_mastersgri/…

An increase in Short Sales does not necessarily mean an increase in foreclosures for an area. An in-demand area, such as Pleasanton, will absorb this supply. Case in point: the most recent distressed property data indicates the following for Pleasanton (as of 1/29/10):

Detached Homes (active): Short Sales: 13 (13%) - REO: 5 (5%)
Detached Homes (pending): Short Sales: 50 (53%) - REO: 6 (6%)

Attached Homes (active): Short Sales: 19 (59%) - REO: 4 (13%)
Attached Homes (pending) - Short Sales: 26 (67%) - REO: 5 (13%)

So, from a listings and sales perspective, Short Sales are predominant.

Best, Steve
2 votes Thank Flag Link Fri Feb 12, 2010
Not necessarily. The amount of short sales may also have to do with the large amount of loan modifications getting denied all over the country.

There are several companies who had deals with Fannie Mae insuring a guarantee of 80% of the original value once the companies have reached a certain loss point.

This has been one of the reasons we have started to see more foreclosure sales in the past few months. Many of these homes have notices of default already filed but have been on waiting lists for 8,9 & 12 months to get modified.
0 votes Thank Flag Link Tue Mar 2, 2010
Long,
There are more short sales now because the banks have sped up the process and are more open to them than they have been. There has been talk about a new wave of foreclosures, but it's hard to know, we have certainly seen a drop off of them in recent months. I think it is going to depend on the area mostly.
Best,
Erica

Erica Jones Starkey
Broker, Co-Founder
JSCA Real Estate Group
Providing Superior Solutions for Your Individual Real Estate Needs
Web Reference: http://www.jscaralty.com
0 votes Thank Flag Link Mon Feb 22, 2010
Hi Long,
I believe we will be facing this market for a while.
We are not done with the Neg am loans. I believe we have at least 2 more years of neg ams exploding, as well as homeowners loosing their jobs etc.
Currently we have a small inventory, I believe it has a lot to do with the buyers credit. Once that is done we will face more short sales and reo's.
I do believe lenders are trying to work with homeowners to keep thier homes. I have successfully been doing Loan Mods for over 2 years.

Best of luck.

JoAnna Jensen

925 699 5041
0 votes Thank Flag Link Thu Feb 18, 2010
The banks are holding back inventory by slowing down the processes, taking longer to foreclose, taking longer to process, taking longer to list, taking longer to answer offers, taking longer to get deeds to close etc etc... Tha banks will not flood teh market as they did in the 90's when prices fell to near nothing. Unfortanately foreclosures will continue..... The one thing that i notice is teh new foreclosures are in alot worse condition than teh ones even a year ago.
Web Reference: http://www.ScottSellsNH.com
0 votes Thank Flag Link Fri Feb 12, 2010
No shadow inventory to be released in a huge wave...here's why. Because banks won't make the same mistake twice!

They wrote off alot of losses in 2008, in 2009, Feds said they can change their accounting methods. See the web reference for more details.
0 votes Thank Flag Link Thu Feb 11, 2010
There will continue to be foreclosures in Pleasanton, Ca, just as in other places. The recent increase in sale and uptick in prices is encouraging but the economic problems of the recent past have not gone away. Jobs continue to disappear, loans will reset and there will be continued problems in the real estate market. Will there be a big, extraordinary wave of foreclosures dumped on the market from the great “shadow inventory” that is often claimed to exist? Don’t bet on it.
0 votes Thank Flag Link Thu Feb 11, 2010
Hello Long,

The current market conditions, including sale trends were posted just yesterday at http://vickiesellshomes.com/category/pleasanton-ca/market-da…


This report shows market dynamics over the last 12 months. On the same site you'll find monthly short sale reports and archives.

Please contact me with any detailed questions.

Respectfully,
Vickie Nagy, Keller Williams, CA DRE # 01363932

(925) 407-7987
0 votes Thank Flag Link Thu Feb 11, 2010
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