Don't fear the Foreclosure

Written by Posted On Wednesday, 07 January 2015 06:11
Foreclosure Resources Foreclosure Resources

This Morning we have only 12 real estate owned listings for sale in the entire Santa Clarita Valley.

If you were to ask me what kind of numbers are showing for the "off market" distressed real estate inventory for Santa Clarita Valley this is what I'd say:

  • Santa Clarita Total has 287 distressed homes - most of these are made up of auctions, pre foreclosures, and bank owned inventory. Most of these are not on the market for sale "yet".
  • Stevenson Ranch has it's own recap. 30 Total Distressed homes, consisting of the same types of inventory as Santa Clarita.

Something distressed this way comes...

As a Seller of real estate, there has been concern that "something distressed this way may come..."

You have your Realtor put your home on the market for what seems to be FMV - Fair market Value, you get a lot of showings, promises of offers, and you are elated.

You are doing the Real Estate Seller Dance of Joy - The RESDJ, as it's otherwise known. :)

OMG - a Foreclosure was just Listed for Sale!

Midstream, during your dance of joy - You get an alert from your Realtor or from their "update system", they have subscribed you to, that monitors your neighborhood.

"There was an REO just listed for sale that is priced at 40k less than your's!"

Don't seal the garage, start the car, or get the hose just yet...

Like a Warm Blanket on a cold night...

In most cases reo inventory is no where as "attended to" as a standard sale. They lack the warmth. For a 40k discount most buyers may be able to overlook the warm fuzzies - but most won't.

Also, don't ever neglect to count on the "bidding war" that will take place. This will, most likely, increase the price on the REO listing!

In addition, the Foreclosure Listing will have your realtor getting more sign calls from your home that is listed for sale.

You will also see that your viewings will increase by a large amount due to the highly trafficked foreclosure.

Appraisers see the 'bigger picture'

Worried about your appraisal if the REO listing sells for less?  Don't - Appraisers will take into account the fact the "competition" was distressed and not standard.

As long as a majority of the inventory is standard, you have nothing to fear in Foreclosures!


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