Case-Shiller Index Rose in July, But Underlying Home Price Pressure was Down

Submitted by Rich Toscano on October 2, 2011 - 1:52pm
The Case-Shiller index of San Diego home prices rose by .1 percent in July:



However, the seasonally-adjusted version of the same index fell by a full 1 percent...

continue reading at voiceofsandiego.org

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Submitted by ctr70 on October 3, 2011 - 1:41pm.

There was a surge in NOD's & NOT's in August (mostly from BofA). I'd like to hear opinions if that will mean more REO's hitting the market around Jan 2012? From all I read and hear it seems will should be seeing a nice dip in prices the next 6 mos or so.

Submitted by sdrealtor on October 3, 2011 - 5:16pm.

There seems to be lots of demand for well priced quality homes that can be purchased without lengthly short sale approvals. If they hit the market at good prices and are nice properties they will fly off the shelves that time of year. I just dont see there being enough of them to move the market in any siginificant manner but who really knows.

I guess you have to define what you would consider a nice dip?

Submitted by Jazzman on October 4, 2011 - 4:57am.

Not sure it will happen that quick. It could be some time before they become REOs.

Submitted by ctr70 on October 4, 2011 - 3:09pm.

sdrealtor wrote:
There seems to be lots of demand for well priced quality homes that can be purchased without lengthly short sale approvals. If they hit the market at good prices and are nice properties they will fly off the shelves that time of year. I just dont see there being enough of them to move the market in any siginificant manner but who really knows.

I guess you have to define what you would consider a nice dip?

Healthy demand doesn't mean there won't be a price decline. There are extremely healthy sales with properties flying off the shelves in Las Vegas & Phoenix right now as prices keep drifting lower there. In late 2008 and 2009 in SD properties flew off the shelves for the right price, but prices still hit a low. A lot of demand but for a lower prices could mean a drift down in price. A nice dip to me would be 10% down.

Submitted by bearishgurl on October 12, 2011 - 9:25am.

ctr70 wrote:
There was a surge in NOD's & NOT's in August (mostly from BofA). I'd like to hear opinions if that will mean more REO's hitting the market around Jan 2012? From all I read and hear it seems will should be seeing a nice dip in prices the next 6 mos or so.

The $64M question here is, "WHERE will this `surge' manifest itself?" Where did B of A mostly lend?? They are a Fannie/Freddie (conforming) lender and also had a lot of "exotic" and I/O products during the "bubble era" which were peddled by crooked loan officers (who are now out of biz). They originated a LOT of condo loans . . . a LOT!! In addition, they had more prepayment penalties than I've ever seen in my life! WHO would sign up for these types of mtgs? My feeling is that it was mostly first-time (unsophisticated) buyers or "desperate" refinancers who needed any amount of cash they could get to live on and/or get out of default, terms be damned.

Submitted by peterb on October 14, 2011 - 8:32pm.

I think sellers are getting a lot more realistic about pricing their properties to sell. As well as banks with short sales.
But, just because BoA started NOD's this summer does not mean those homes will be on the market any time soon. Based on what's been happening in the last 3 years, it could easily take them 12 months to complete foreclosures.

What's the latest word from Ramsey? Anything?

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