Enough gloom and doom. We’ve got good news today! Now is definitely the time to buy! Or maybe sell.
By Pete Carey, SJ Mercury News
Posted: 02/15/2011 02:54:55 PM PST, Updated: 02/16/2011 12:45:57 PM PST
After a two-month lull because of a national paperwork scandal, foreclosures in Santa Clara and San Mateo counties in January returned to levels that have prevailed since 2008, indicating the crisis will continue this year but also putting more low-priced homes on the market.
Last month’s increase in foreclosures may be followed by bigger increases in the next few months, according to some real estate professionals.
In Santa Clara County in January, 398 home were either repossessed or sold by lenders to third-party buyers, a nearly 70 percent jump from the month before, according to real estate information service ForeclosureRadar. San Mateo County had 160 foreclosures in January, a 75 percent jump from December.
Paperwork scandal? You know what the scandal is? The banks have all those borrowers by their
balls liens, and won’t just get on with it. Seize the property, auction it, and get the prices down to where they need to be, so the overbidding can start again. Nobody is going to overbid if they’re just sitting around waiting for the banks to dispose of their ginormous shadow inventory.
Well, I don’t know if we have a Silicon Valley version of a groundhog, but it was sunny on February 2nd, so there must have been plenty of shadows. So keep watching for that shadow inventory to cast itself on a real estate site near you!
We’re hoping some of those places were painted interesting colors, or replaced the front lawn with crushed automobiles, or maybe even set up a commercial-grade pharmaceuticals lab right in the kitchen! And we’re really hoping they’re priced for lucky amounts, like $888,000.
Meanwhile if you find a great place like that, please pass it on to us so we can share it. After all, we have to make sure those Open Houses have lots of people passing through, because nothing says Real Estate is Back like running out of flyers!