Industry News
Mortgage Industry News
Short-Sale Pending Accelerate
08/14/2009
Short-sale inventory is declining as quickly as REO inventory, and there are three times as many short-sale pended escrows as there are closed escrows. “This data would seem to indicate to the consumer that the market is beginning to improve”, says Michael Lyon, CEO Lyon Real Estate, “However, what this truly represents is an increase in sales and escrows that take much longer to close.” Overall, with inventory so low, there are buyers 10 deep on homes correctly priced under $300,000. In addition, prices have increased for the last five months for homes priced under $300,000.
Sales decreased 3 percent during the month of July for the Tri-County region of Sacramento, Placer and El Dorado Counties. July 2009 sales were 13 percent lower than July 2008 sales. Pending sales increased by 14 percent from June to July 2009.
July 2009 inventory of 6,203 homes for sale is 51 percent lower than July 2008 inventory. This is a 59 percent decrease for the regional inventory record high of 15,302 set in August 2007.
COUNTY HIGHS AND LOWS
Sacramento County sales decreased 4 percent from June to July 2009. Inventory decreased 17 percent during the month of July. Pending sales increased by 13 percent in the month of July. 57 percent of the homes sold for under $200,000; 36 percent of the homes sold for between $200,000 and $400,000; and 7 percent of the homes sold for over $400,000. The average price per square foot increased by 1 percent during the month of July to $122.
Placer County sales decreased by 4 percent and inventory decreased by 11 percent during the month of July 2009. Pending sales increased by 24 percent from June to July. 10 percent of the homes sold for under $200,000; 66 percent of the homes sold for between $200,000 and $400,000; and 24 percent of the homes sold for over $400,000. The average price per square foot increased 1 percent during the month of July at $155.
El Dorado County showed a 1 percent increase in sales from June to July, and the inventory decreased by 5 percent from June to July. Pending sales have increased 9 percent during the month of July. 19 percent of the homes sold for under $200,000; 43 percent of the homes sold for between $200,000 and $400,000; and 38 percent of the homes sold for over $400,000. The average price per square foot decreased by 4 percent during the month of July to $153.
Yolo County sales decreased by 2 percent for July 2009 and the inventory decreased by 12 percent. Pending sales increased 4 percent during the month of July. 23 percent of the homes sold for under $200,000; 49 percent of the homes sold for between $200,000 and $400,000; and 28 percent of the homes sold for over $400,000. The average price per square foot increased by 5 percent during the month of July to $169.
Nevada County sales have decreased by 26 percent during the month of July, and inventory increased 6 percent. Pending sales decreased by 24 percent. 4 percent of the homes sold for under $200,000; 29 percent of the homes sold for between $200,000 and $400,000; and 67 percent of the homes sold for over $400,000. The average price per square foot increased by 6 percent during the month of July at $191.
San Joaquin County sales have decreased by 13 percent during the month of July, and inventory decreased 22 percent from June to July. Pending sales remained the same. 43 percent of the homes sold for under $200,000; 45 percent of the homes sold for between $200,000 and $400,000; and 12 percent of the homes sold for over $400,000. The average price per square foot increased 2 percent during the month of July at $95.
