Local real estate markets were a mixed bag during the first quarter compared to the same period in 2011. Eldorado County had fewer single family home sales down 34% from the first quarter last year. The average sales price for these homes was also down by 5%. The same comparisons for Placer County had the opposite results. Sales volume of single family homes was up 38% and average sales price increased by 7%. Sacramento County experienced a 5% increase in homes sold and an average sales price increase of 3%. Communities within each county had drastically different results. Click here….April 6 Blog
Homes purchased with subprime loans started the foreclosure crisis; but now middle class, suburban or rural families with a conventional 30-year fixed mortgage at a reasonable interest rate, are facing the foreclosure process. In Folsom, county records (Realist) indicate there are 98 bank owned homes. 71 bank owned homes in Folsom are not listed on MetroList Service (MLS). El Dorado Hills has 158 bank owned homes; MLS has only 37 homes on the market for sale or stated the other way, 121 bank owned home are waiting to hit the market in El Dorado Hills. The economy is the cause of this latest wave of foreclosures. Many families have gone from two incomes to one or either unemployed to under employed. Zillow is also expecting a resurgence in foreclosures this year and the increase in unsold bank owned homes will result in a 3.7% decrease in national home values before the market hits bottom in 2013 where it expected to remain until 2016. The local real estate market may prove to be a little worse considering the condition California’s economy and state regulations on business.