We've Peaked On Foreclosures ! - NOT !!!

[AAbsolute]

Didn't they say this in 2002?

.

Prices from the year 2000 look correct right about now.

 

[JoshMclean]

Didn't they say this in 2002?

.

I know what you're saying, but it's a different situation. You can't compare a rapidly appreciating market with a market that has tanked for 2+ years now. There has to be a bottom somewhere. I think overall prices are still somewhere in the 2004 range. It would still be a very significant drop for the overall average to hit 2002 pricing.

 

[Bobby J]

I just showed another foreclosure this morning. I called the agent as I was leaving and was told they are in a multiple offer situation. They told me to get my offer in asap!

 

[traderx]

It appears that home prices are above replacement cost. Wouldn't this situation have to correct itself before any meaningful recovery can occur?

 

[scooterbug44]

Are people jumping on the foreclosures because they don't want to deal w/ the hassle of a short sale, because the prices are reasonable, or other?

 

[fisher]

I know what you're saying, but it's a different situation. You can't compare a rapidly appreciating market with a market that has tanked for 2+ years now. There has to be a bottom somewhere. I think overall prices are still somewhere in the 2004 range. It would still be a very significant drop for the overall average to hit 2002 pricing.

Lot sales and asking prices in many areas are already WELL BELOW 2004 prices and many are approaching 2000 levels. Check out this sale in Watercolor (assume it was arms lenght but not sure) http://64.234.218.210/cgi-bin/walton_display.cgi?KEY=15-3S-19-25450-000-0010 or this sale in Watercolor http://64.234.218.210/cgi-bin/walton_display.cgi?KEY=15-3S-19-25406-000-0010&. Both of these prices suggest 1999-2001 or earlier price levels. ASKING prices for several lots in Watersound are lower than the original 2003 Joe release prices. You can't give away lots in places like Cypress Dunes, Cypress Breeze, The Preserve, etc etc.

 

[Bobby J]

It appears that home prices are above replacement cost. Wouldn't this situation have to correct itself before any meaningful recovery can occur?

Many homes we are showing are well below replacement cost. Not sure what you mean.

 

[Bobby J]

Are people jumping on the foreclosures because they don't want to deal w/ the hassle of a short sale, because the prices are reasonable, or other?

The prices are better and they get a real quick answer. There is nothing short about a short sale!

I also think agents are beginning to steer away from them(short sales) as the foreclosure are beginning to show up in the market. We like to get paid.

 

[SHELLY]

I also think agents are beginning to steer away from them(short sales) as the foreclosure are beginning to show up in the market. We like to get paid.

...so today's short sales will be future foreclosures coming down the pipe and all those bubble-priced "regular" sales will be future short sales which will be future foreclosures....nope, this thing is still far from over.

Then again, banks may be more unwilling to accept these short sale requests and just go straight to foreclosure to get this thing over and done with. I'm safely assuming the majority of these properties are second/investment properties that don't qualify for any of Uncle Sugar's giveaways.

.

.

 

[Bobby J]

...so today's short sales will be future foreclosures coming down the pipe and all those bubble-priced "regular" sales will be future short sales which will be future foreclosures....nope, this thing is still far from over.

Then again, banks may be more unwilling to accept these short sale requests and just go straight to foreclosure to get this thing over and done with. I'm safely assuming the majority of these properties are second/investment properties that don't qualify for any of Uncle Sugar's giveaways.

.

.

You are correct Shelly. The beauty of Real Estate is it is constantly changing! I love it!
In an hour short sales may be the direction to go. Right now foreclosures are looking good. Keep posted. That may change.