Distressed Homes Inventory Declining
Filed Under Forclosures and Bank Owned Homes, Seller Information · Tagged:
In recent months the “Shadow Inventory” of distressed homes has declined helping ease the downward pressure on our real estate values. Here’s some relevant facts:
• The shadow inventory of residential properties as of July 2011 fell to 1.6 million units, or 5–months’ worth of supply, down from 1.9 million units, or a 6-months’ supply, as compared to July 2010.
• Of the 1.6 million properties currently in the shadow inventory, 770,000 units are seriously delinquent (2.2-months’ supply), 430,000 are in some stage of foreclosure (1.2-months’ supply) and 390,000 are already in REO (1.1-months’ supply).
• As of July 2011 the shadow inventory is 22 percent lower than the peak in January 2010 at 2 million units, 8.4-months’ supply.
• The total shadow and visible inventory was 5.4 million units in July 2011, down from 6.1 million units a year ago. The shadow inventory accounts for 29 percent of the combined shadow and visible inventories.
• The aggregate current mortgage debt outstanding of the shadow inventory was $336 billion in July 2011, down 18 percent from $411 billion a year ago.
August Market Action Report
Filed Under Uncategorized · Tagged: Real Estate Market Update
Buyers are getting some great bargains with a combination of low prices and record-low interest rates. According to the latest RMLS Market Action Report, prices on average have dropped 9.2% from August, 2010 to August, 2011. At the same time closed sales are up over 30%! Consequently, we’ve seen our marketable inventory drop by 46 percent during the same period – from an 11 month supply to a 6.2 month supply. The inventory supply has been bouncing between the 6-7 months range for six months in a row now. For additonal details see http://www.rmlsweb.com/v2/public2/loadfile.asp?id=6249
Is the Value of My Home is Still Falling!?
Filed Under Buyer Information, Seller Information · Tagged: Real Estate Market Update
Quoting the latest May, May, 2011 RMLS Market Action Report, the media will tout – and place the fear of God in you –that home prices fell 1.8% last month in April! But let’s take a closer look. The report does not differentiate resale homes and bank-owned properties. Distressed homes currently account for 38 – 40% of our market activity. According to Pat Stone, CEO of WFG Title, property owners actually saw their home values go up! It’s the banks which are slashing their prices to liquidate their inventory pushing the average-sales-price statistic down.
Both closed transactions and pending sales were up the Portland area by 8.1% pushing the total-market inventory down to a 6.9 month supply – the lowest it’s been since the rush of October, 2009 when the $8,000 Federal Tax Credit expired. A 6 month inventory is the benchmark between a buyer’s market and a seller’s market and we’re starting to see glimpses of that change.
If you’ve been on the fence about buying because of declining property values, now just may be the time. Investors have been on the bandwagon for some months now with title companies seeing a record number of all-cash transactions, 38 – 40% to be exact!
What’s Your Walk Score?
Filed Under Buyer Information · Tagged:
Part of what makes a green home “green” is the livability factor of its neighborhood. Walkscore.com measures this in terms of proximaty to parks (recreation), shops, entertainment, etc. Cities, neighborhoods and indivual addresses. To find your walk score check out http://www.walkscore.com/OR/Portland
NE Portland – Bank Owned Homes
Filed Under Uncategorized · Tagged:
While doing a recent home valuation, I did a cursory search for bank-owned homes in NE Portland. Of the 35 currently available, all but 5 were over $200K – the prices were great! When a bank owns a property, they get back to your offer at lightning speed compared to a short sale since banks have to sell! To locate bank-owned property by neighborhood, use the interactive map on my blog http://Search.PortlandOregonHomesBlog.com
Agent Profile
Having been actively involved in the Portland, Oregon real estate market as a full-time, profesional broker since 1983, I enjoy helping clients with thier real estate goals. Whether that's to solve a problem, enhance thier lifestyle or net worth. 
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