I realize that “market” inventory is down quite a lot since last year. But looking at auction.com (which seems to be contracted to do a lot of trustee auctions in CA), pre-auction inventory there has increased massively since late 2011. There were about 20-30 listings in SD County then, now there are 800+ properties listed. Will those properties either get sold to a bidder or become REOs in the next few months, or will they languish on the market and continue to have their auctions postponed?
Something to think about in a “shadow inventory” discussion, and not sure what will be the end result of this. Either inventory is up because auctions are being postponed, properties are not selling, or because there are more properties going to auction. Haven’t been following the market closely enough to determine which it is.
I suspect it has to do with people working loan mods.
But a quick look at lpasap.com for San Diego showed 12 properties in the county with autions scheduled for today and another 127 that were scheduled for today but have been postponed.
I used to check these lists daily (and post info on the outcomes on sdlookup.com)… It was definitely more auctions back when I was doing this a few years ago.
Since banks are being mandated to try and work out loan mods before they foreclose… that’s delaying some of the action.
Well, here’s to the loan mods failing in epic manner.
Me, it doesn’t matter either way — if not CA, there are still plenty of distressed properties in my home state of NJ that will cap at a higher rate than anything short of AZ or the inland empire.
No matter. Even if the REO inventory increased by hundreds a month this market would easily digest them. Demand and the velocity of the market in SoCal is very different than our home state of NJ. You sound like you havent been here long and have alot to learn about the way the market functions here. It made no sense to me either when I first got here.
That’s OK if the market digests them — but having more to pick from is always good. Right now we’re in the odd situation of fairly low prices AND lack of choice.
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