Redding Foreclosure Activity Update
INDUSTRY NEWS, SHASTA COUNTY
January 28th, 2010
The number of bank-owned properties (REO’s) listed for sale in Redding/Shasta County is on the rise. Currently there are 174 active REO listings on the Shasta Multiple Listing Service. This number is up significantly from last year when just over a hundred were available on any given day. Nearly a quarter of the 400 pending home sales are REO’s. However, based on 2009 totals, almost half of the closed home sales were REO’s or short sales.
The uptick in REO inventory could be due to banks releasing more properties into the marketplace or fewer REO’s being purchased. Has the market hit a saturation point? In 2009, the number of REO’s was steady for the first 10 months of the year but started climbing in early November. This coincides with the expiration of the federal tax credit which was extended to April of this year. It is also possible that Shasta County’s unemployment rate has finally impacted home sales.
Elsewhere in California and the nation home prices seem to be stabilizing. Prices are actually increasing in most of the major metro areas according to reports I’ve read. However, home prices locally have been on a steady decline. Last year, the average home price fell 12% in Redding and has dropped around 40% since the peak in the fall of 2007.
The good news is there are about 200 fewer homes listed for sale today compared to a year ago. Pending home sales are also up by about 25% from last January. Consumer confidence is on the rise despite the nation’s waning approval of our president’s efforts to get our economy back on track.
530-224-6767 or 530-941-7492
BRAD GARBUTT
REALTOR/BROKER ASSOCIATE
REAL LIVING REAL ESTATE PROFESSIONALS
CORNER OF COURT AND PLACER IN REDDING
MORE THAN 25 YEARS LOCAL REAL ESTATE SALES EXPERIENCE
