September 19, 2010

California has 2.3M homes underwater–but what about the Real Bay Area?

California has 2.3M ‘underwater’ homes

San Francisco Business Times – by Steven E.F. Brown

California is one of five states with the most “negative equity” in its home market, according to a report by CoreLogic Inc.

The Santa Ana business (NYSE: CLGX) said 33 percent of residential properties with mortgages in the Golden State were “underwater,” meaning the property is worth less than is owed on the loan. The figures are for the end of the second quarter.

That works out to 2.26 million underwater properties in the state. Another 286,000 homes were “near negative equity.”

Total outstanding mortgage debt in California was $2.03 trillion at the end of the second quarter, according to the report.

Though California’s rate of negative equity dropped 1.3 percent from the first quarter to the second, a quick rate of decrease, that was “primarily due to foreclosure, not the stabilization or small increases in prices in some markets,” the report said.

Thanks to Burbed reader Mark for this find!

Now sure this might seem gloomy at first, but think about it – this is about California as a whole. This includes places like… the Indio and the East Bay. Of course it’s going to look bad.

The real question, of course, is: what is it like in the Real Bay Area?

My hunch – 102% of houses (maybe not condos or townhouses) are above water.

Does anyone have data on this?

Comments (12) -- Posted by: burbed @ 5:48 am

November 28, 2008

Welcome to the Real Bay Area, Healdsburgh

1855 Felta Rd Healdsburg, CA 95448
Price: $849,000

Beds:     1
Baths:     1
Sq. Ft.:     768
$/Sq. Ft.:     $1,105
Lot Size:     2 Acres
Property Type:    Residential, Detached, Single Family
Style:    Cabin, Craftsman
Year Built:    1945
Stories:    1
View:    Water
Area:    Healdsburg
County:     Sonoma
MLS#:     20831778
Source:     BAREIS
Status:     Active
On Redfin:     13 days
Enchanting 1945 craftsman cabin on magical 2 ac property on both sides of Mill Creek with cable foot bridge leading across creek to 3M yr old volcanic rock outcroppings and caves. the cabin is one bedroom with a great room (stone fireplace, kitchen) large deck just above high water is perfect place to experience the muscularity of the creek’s storm flow and the serenity and sensuality of spring/summer flow. Only 8 min to the Healdsburg Plaza.

Thanks to Burbed reader Mark for this find. Here’s what he had to say:

$1105 / sqft with a cesspool!!!

Love the description … ‘perfect place to experience the muscularity of the creek’s storm flow’ i.e. keep oars under your bed – you may need them.

Holy cow! I had to look on a map to remind myself where Healdsburgh was – oh right, it’s near Snoopy. And frankly, when I first saw this house, I thought it was a set piece from Lord of the Rings. But in any case, welcome to the Real Bay Area Healdsburgh. Congrats!

Black Friday is typically the start of an economic boom – will this house set it off?

Comments (9) -- Posted by: burbed @ 5:42 am