I am struck by the lower LTVs on these sales. I wonder, is that characteristic of the high price point? Or is it the recent sales, with lenders reluctant to fund high LTVs now?
That confirms that, at least recently, 92130 valuations are supported by capital, as much as income.
An important question is whether that capital comes from prior house sales or otherwise.
I don’t think the recent sales are necessarily foreclosures waiting to happen, except to the extent that if house prices fall significantly from here, some of these buyers will go underwater and some of those will walk away on general principles.
