The foreclosure rate is off the chart. It seems to be primarily concentrated in pockets of the newer developments. If you drive through tracts that were built in 2002-2006 there are for sale signs everywhere (Who ever makes those signs has got to be making a killing!). Now with the newer homes dropping the prices those sellers are done.
Another tract that had a big price drop was the Bridgeport by KB. Those dropped nearly 20% a few months ago. The tract that I like (Stellan Ridge) has also dropped over $200K in the last few months (started at 1.2M). It’s still way too high though, but then again it’s in the “beverly hills” of Riverside so I’m not holding out much hope of those falling to $500K
