It will be interesting to see what happens but what I have seen is that REO properties in certain areas have gone and gone fast. However I think other areas have very substantial REO inventory sitting at the bank. I think central San Diego is one of them.
Personally I like University Heights north of Adams but in that entire area that would be about it for me…
Anyways getting back to the main issue… I have tracked REO sales here in Scripps…Properties that went to auction and then went REO were put back on the market )MLS) and sold (at discounts) pretty darn quickly. I have also seen some REOs in 92009 (believe it or not) fairly high end as well and those suckers went very quickly.
However I would be willing to bet that there is alot of REO in less desireable and lower middle class homes. So it will be quite interesting to see how that unwinds.
