After the fall of the last real estate market, starting when the subprime lender fell back in early 2007, we observed a foreclosure inventory build where close to a majority of the Santa Clarita housing market was distressed.
Short sales and short pays were very prevalent with many of those listings entering the Santa Clarita housing market.
REO – Real Estate Owned listings were also very common, more common than the “privately” owned foreclosures.
April 2007 New Century Bank filed BK and the distressed market followed.
The bottom, or low point, of the Santa Clarita real estate market, was Q4 of 2011 and Q1 of 2012. (Q=Quarter – Q-4 is the year-end and Q-1 is the beginning, FYI)
If one had a crystal ball – that is when the money they had on hand or borrowed, would have been used to buy real estate.
Today the Santa Clarita Valley is alive and well. In some of our local cities, we have exceeded peak prices that were observed back in 2006.
Housing inventory has remained low where we have been experiencing a home seller’s market. Which described relates to home sellers being in control of the ball. They are getting premium prices for their homes. They are not giving much in the way of requested repairs or credits. The current home sellers are enjoying multiple offers on the homes they are selling. In addition, the home sellers are getting buyers to agree to the reduction of their inspection time frames. Find out what your home is worth!
If you look at the 4-year history that I have charted – you will see that the Foreclosure inventory is at a 4 year low within the Santa Clarita Valley Cities. View Santa Clarita Valley Foreclosures
The data reveals that we experienced a high point in the Santa Clarita Valley back in 2014, regarding the Foreclosure inventory entering the housing market.
Not all foreclosures or bank-owned listings made it to the “MLS” – regular resale market. They were absorbed via trades, bulk purchases or other ‘special’ investor offerings.
Because we had Citi Group using us to sell their REO’s, we had a ton of calls from people looking to do the Bulk Deals directly with Citi.
Of course, my AM – Asset Managers, were well shielded from people wanting me to give up who they were and their contact information. I did not breach their trust at any time.
Today, we have a housing market that has a much thicker equity base than back before the fall of the last cycle. That is because the price of admission to borrowing money for real estate has heightened.
No longer are you able to get a loan with your verbal acuity. No longer are you able to buy a home with 100% financing.
There is real money involved concerning down payment amounts. Also, the verification process from the lending institutions is much more stringent.
I’m Connor MacIvor and if you want to get a great deal on a home that is for sale, I have my own particular method that I offer my Santa Clarita home buyers. I will look forward to you reaching out to me when you are ready. Be well and please check out the SCVblog where I post articles like this one daily.