REOs will rise 50% in the next 4 months.

NEW -> Contingent Buyer Assistance Program
[quote author="freedomCM" date=1258020368]<blockquote>Take Los Angeles, where bank-owned homes priced above $500,000 accounted for just 5% of all foreclosures sold in August. Those sales may be just the tip of the iceberg: Homes at that price bracket accounted for 35% of all bank-owned inventory at the end of September and 45% of all mortgages that were 90 days or more delinquent, according to LPS Applied Analytics.



Weak sales and rising inventory from bank-owned homes means that L.A. had an inventory to sales ratio for bank-owned homes of 62-to-1 for homes priced above $500,000. By contrast, the ratio is 15-to-1 for homes priced from $250,000 to $500,000, and three-to-one for homes selling for less than $250,000.</blockquote>




<a href="http://blogs.wsj.com/developments/2009/11/11/more-high-end-homes-headed-to-foreclosure/">wsj story</a></blockquote>


Pardon my ignorance. Care to explain what are you anticipating?
 
[quote author="ihate-nar" date=1258088240][quote author="freedomCM" date=1258020368]<blockquote>Take Los Angeles, where bank-owned homes priced above $500,000 accounted for just 5% of all foreclosures sold in August. Those sales may be just the tip of the iceberg: Homes at that price bracket accounted for 35% of all bank-owned inventory at the end of September and 45% of all mortgages that were 90 days or more delinquent, according to LPS Applied Analytics.



Weak sales and rising inventory from bank-owned homes means that L.A. had an inventory to sales ratio for bank-owned homes of 62-to-1 for homes priced above $500,000. By contrast, the ratio is 15-to-1 for homes priced from $250,000 to $500,000, and three-to-one for homes selling for less than $250,000.</blockquote>




<a href="http://blogs.wsj.com/developments/2009/11/11/more-high-end-homes-headed-to-foreclosure/">wsj story</a></blockquote>


Pardon my ignorance. Care to explain what are you anticipating?</blockquote>


implies that the banks are holding back the above $500k houses from the "for sale" reo market (since most of the solds were under $500k)



also implies that more $500k plus reos will hit the market (since 35% of bank inventory, and 45% of 90d lates, are $500k plus.
 
[quote author="freedomCM" date=1258095429][quote author="ihate-nar" date=1258088240][quote author="freedomCM" date=1258020368]<blockquote>Take Los Angeles, where bank-owned homes priced above $500,000 accounted for just 5% of all foreclosures sold in August. Those sales may be just the tip of the iceberg: Homes at that price bracket accounted for 35% of all bank-owned inventory at the end of September and 45% of all mortgages that were 90 days or more delinquent, according to LPS Applied Analytics.



Weak sales and rising inventory from bank-owned homes means that L.A. had an inventory to sales ratio for bank-owned homes of 62-to-1 for homes priced above $500,000. By contrast, the ratio is 15-to-1 for homes priced from $250,000 to $500,000, and three-to-one for homes selling for less than $250,000.</blockquote>




<a href="http://blogs.wsj.com/developments/2009/11/11/more-high-end-homes-headed-to-foreclosure/">wsj story</a></blockquote>


Pardon my ignorance. Care to explain what are you anticipating?</blockquote>


implies that the banks are holding back the above $500k houses from the "for sale" reo market (since most of the solds were under $500k)



also implies that more $500k plus reos will hit the market (since 35% of bank inventory, and 45% of 90d lates, are $500k plus.</blockquote>


Are they implying that the home is worth over $500K from the current mortgage on the property, from it's last sale, or from an appraised current market value?



The average REO listed in OC on the MLS today is listed at $463,073. Sounds about on par with the over/under $500K statistics.
 
[quote author="RoLar_USC" date=1258095046][quote author="graphrix" date=1258090080]May I please have an update on REO sales per the MLS?</blockquote>


For October? November?</blockquote>


October.
 
[quote author="graphrix" date=1258096501][quote author="RoLar_USC" date=1258095046][quote author="graphrix" date=1258090080]May I please have an update on REO sales per the MLS?</blockquote>


For October? November?</blockquote>


October.</blockquote>
482
 
Once again the REOs exceeded REO sales in October. This is the data that geotpf said would prove if there is shadow inventory or not, and yet he still claims there is no shadow inventory. The numbers clearly show that there is significant shadow inventory and that REO sales have slowed.



http://i49.tinypic.com/24xggau.jpg



Also note that NODs have already exceeded all the NODs from last year and will probably be over 30,000 NODs for the year. Another record breaking stat.
 
Graphrix - You do not seem to understand that most of these folks will get loan mods and the bottom is in. Or at least, <strong>A</strong> bottom is in.
 
[quote author="awgee" date=1258615326]Graphrix - You do not seem to understand that most of these folks will get loan mods and the bottom is in. Or at least, <strong>A</strong> bottom is in.</blockquote>


What? Once again the REOs exceeded REO sales in October...I think we are at the bottom :)
 
Eventually...





Eventually...





Eventually...





I used to say that about stocks doing stupid things. The market has greater power to be stupid than most of us have money or time.
 
[quote author="graphrix" date=1258614125]Once again the REOs exceeded REO sales in October. This is the data that geotpf said would prove if there is shadow inventory or not, and yet he still claims there is no shadow inventory. The numbers clearly show that there is significant shadow inventory and that REO sales have slowed.



http://i49.tinypic.com/24xggau.jpg



Also note that NODs have already exceeded all the NODs from last year and will probably be over 30,000 NODs for the year. Another record breaking stat.</blockquote>


What does DQ stand for there?
 
[quote author="graphrix" date=1258614125]Once again the REOs exceeded REO sales in October. This is the data that geotpf said would prove if there is shadow inventory or not, and yet he still claims there is no shadow inventory. The numbers clearly show that there is significant shadow inventory and that REO sales have slowed.



http://i49.tinypic.com/24xggau.jpg



Also note that NODs have already exceeded all the NODs from last year and will probably be over 30,000 NODs for the year. Another record breaking stat.</blockquote>


Graph, are you tracking just the NODs or the actual number of properties taken back by the banks. Or, do we know the number of properties that settle their backed debt and retain their homes?
 
[quote author="Geotpf" date=1258676981]

What does DQ stand for there?</blockquote>


DataQuick... although to my wife it's Dairy Queen.
 
My chart are the DataQuick foreclosures (REOs/bank owned properties), compared to the REO sales directly from the MLS. <a href="http://mortgage.freedomblogging.com/2009/11/17/banks-start-foreclosure-on-2100-mortgages/21443/">The DataQuick NODs and foreclosures can be found here</a>.
 
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