It feels somewhat against intuition. Is it real?!?

Hi, yes this was an article in the Mercury News. Many homes in the Stockton area, the Sacramento area, and San Jose area are being sold as Foreclosures and REO (Real Estate Owned by the bank that was not sold to the public in foreclosure). They are priced low; therefore many investors and opportunists are jumping on these properties with anticipation for appreciation. There is still abundance of wealth in California. My friend represented a buyer in San Jose last week for an REO sale and there were 20 bids on that property. The banks do not want to get stuck with so many homes, they are listing them cheap and selling them to the highest bidder. The article was talking about a rise in the volume of sales; however the prices are lower, if you compare them to last year. It’s good that there is activity. BTW REO is not easy to buy; you need an experienced agent for that. There are strict rules and regulations and penalties if the buyer does not close on time. The Banks are getting softer again; you can see loan products that you have not seen for the last 2 years with 3% & 5% down payment and even ‘stated income’ (meaning you state that your income is a certain amount and you do not have to prove it). Still for the best loan and terms you need to supply paystubs, bank statements, good credit history, and verification of employment, proof of insurance on the property and proof of sufficient funds to pay your mortgage.

If you read my personal reports you would see that the prices in the desired areas, namely, Los Altos, Palo Alto, Mountain View, Sunnyvale and Cupertino with the good schools didn’t go down. Some homes are priced too high and have to adjust their expectations but if they are priced right they’ll still get sold with a few offers and great terms.

I listed on Wednesday a small house in Sunnyvale, Cupertino school district, with Stocklmeir elementary. We already had 50 agents and many interested buyers check the house. We are planning to hold it open this weekend on Saturday and Sunday and take offers on Tuesday.

You are invited to see it. It’s very clean and upgraded 3 bedrooms 2.5 bathrooms, situated closed to Sunnyvale Community center on 1225 Manet Drive.

 

 

 

 

Finally, a glimmer of good news for Silicon Valley home sellers: Home sales were up 30 percent last month compared with March.

 

Good news for Silicon Valley home sellers: Home sales were up 30 percent last month compared with March.

That was the steepest March-to-April increase in almost two decades for the county.

A total of 1,440 homes changed hands in Santa Clara County in April, up from 1,105 in March.

Investors appear to be returning to the market, as non-owner occupied buying is increasing.

to see the whole article, Please click here: Sue McAllister at smcallister@mercurynews.com

This entry was posted on Saturday, May 31st, 2008 at 5:58 am and is filed under California, Cupertino, Los Altos, Mountain View, Palo Alto, REO, Real estate, Santa Clara County, Sunnyvale, foreclosures, homes, schools, silicon valley. You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.