California Foreclosure Inventory Continues to Decline

November 2012 California foreclosure inventory—the total of Preforeclosures, properties in foreclosure that are Scheduled for Sale, and Bank Owned properties (REO)—fell 7.6 percent from the prior month and is down 31.8 percent compared to last year. While the November decline in inventory is not an unusual event, the significant decline in foreclosure inventory over the…

Short sales jump ahead of tax hike

The number of “short sales” is on the increase: A troubled homeowner gets out of a mortgage he can’t afford, and the bank unloads a house it might have to end up repossessing. A soon-to-expire tax break for troubled homeowners is helping drive a spurt in “short sales.” During the three months ended Sept. 30,…

How to time the market

Everyone wants to know the best time to buy, sell or hold real estate. These charts will help you anticipate the market to maximize profit. Chart 1 Chart updated 12/7/2012 October 2012 September 2012 October 2011 Yield spread 1.65 1.61 2.13 Home sales volume 39,254 34,011 34,087 Chart 2 Chart updated 12/7/2012 September 2012 August 2012 September…

Buyer purchasing power determines home prices

30-year fixed rate mortgage (FRM) rates in California fell to 3.31% in November 2012. One year earlier, the rate was 3.99%. This translates to an 8.99% increase in mortgage funds available to today’s buyers. This purchasing power index of 8.99 is a big step up from the modest 3.66 index in November 2011. Rate drops…

Housing recovery: the long and short of it

Lehman Brothers, the investment bank that tipped the first domino in the 2008 financial crisis, recently sold an American multi-family housing portfolio for $6.5 billion. No, this Lazarus has not been raised from the dead. Rather, it’s shaking off all remaining assets in an attempt to repay their gargantuan debts. This news heralds confidence in…

Homes for Sale Due to Foreclosure

Finding a nice home for a good price can sometimes be difficult. Foreclosure homes for sale are a good option for those who cannot afford a new home that is in great shape, but they can afford a home that is a fixer-upper. Some people have the ability to fix up a home and make…