Working with a couple of buyers in the lower price range, I decided to see how many ACTIVE homes were short sale properties, bank owned (REO) and regular homes in homes listed under $300K. I decided not to check the condo/townhome group – this group has significantly higher overall numbers of available properties, however, there are more restricted loan products to this group which will affect the ability to sell.
In Santa Clara County, the number of homes less than $300K was very few compared to the number of buyers out there. There are 78 short sales (“for sale” hopefuls), 21 bank owned properties and 13 regular sales. So less than 10% are regular sales and 15% are bank owned. The whopping majority are short sales. I call them “for sale” hopefuls. The lender has not yet approved the sales price and the owners hope they will. While a percentage might close some never will. I have seen properties in escrow since last summer! Some of those have closed recently though. So a buyer in this market might get a decent home at the decent price through the short sale process – You just need patience.
We will see if things change next month when a proposed program to speed up the short sale process comes into being. I will be back with you when I see how this is really affecting homes in our area.