Lori Uhl McClelland's Blog

Single Family Residential

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Actives:

San Benito County-197 of which REO/Bank Owned-33 or 17%

Hollister-136 of which REO/Bank Owned-25 or 18%

Pendings:

San Benito County-195 of which REO/Bank Owned-32 or 16%

Hollister-159 of which REO/Bank Owned-28 or 18%

Absorption Rate:

San Benito County- 1 month supply of inventory

Hollister-.86 month’s supply of inventory or 26 days

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Solds for the week: 8 (1 late reporting from the week before)

High-$449.500  Short Sale, New Conv. 1^st

Low- $149,539  REO/Bank Owned, All CASH

Full-Price/Over-Asking-3 or 38%

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Sale Type:

REO/Bank Owned-4 or 50%

Short Sale-2 or 25%

Equity Sale-2 or 25%

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Financing Type:

FHA Loan-3 or 38%

New Conv. 1^st-2 or 25%

All CASH-2 or 25%

VA Loan-1 or 12%

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Little better numbers this week! At least our absorption rate is not continuing to climb but it has gone up by about 30% over the summer. We’ll see if there’s the typical pickup in the market as the kids are starting to go back to school. Interest rates remain fabulous!

Single Family Residential

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Actives:

San Benito County-198 of which REO/Bank Owned-30 or 15%

Hollister-127 of which REO/Bank Owned-23 or 18%

Pendings:

San Benito County-198 of which REO/Bank Owned-32 or 16%

Hollister-160 of which REO/Bank Owned-27 or 17%

Absorption Rate:

San Benito County-.95 months supply of inventory or 29 days

Hollister-.79 months supply of inventory or 24 days

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Solds for the week: 2

High-$665,000 Equity Sale-FHA Loan

Low- $195,000 REO/Bank Owned-All CASH

Full-Price/Over-Asking-1 or 50%

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Sale Type:

REO-1 or 50%

Equity Sale-1 or 50%

Short Sales-none

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Financing Type:

FHA Loan-1 or 50%

All CASH- 1 or 50%

Conv. 1st-none

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 Whoa! Just when you think it can’t get worse…2 closed sales this week….the short sales are suspiciously absent…what could that be? Another new ineffective government program? HAFA was rolled out the beginning of April…it’s August! Short Sale closings ought to be rockin and rollin by now 4 months, please a regular Short Sale can get done in that amount of time…just a thought…have no proof except the last 2 weeks the short sales closings have vanished….

Single Family Residential

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Actives:

San Benito County-178 of which REO/Bank Owned-26 or 15%

Hollister-111 of which REO/Bank Owned-19 or 17%

Pending:

San Benito County-179 of which REO/Bank Owned-29 or 16%

Hollister-148 of which REO/Bank Owned-26 or 18%

Absorption Rate:

San Benito County-1 month supply of inventory

Hollister-.75 months supply of inventory or 23 days

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Solds for the week: 18 (couple of later reporting’s skew #’s)

High Sold: $700,000 Equity Sale, New Conv. 1st

Low Sold: $55,000 REO/Bank Owned, All Cash

Full-Price/Over-Asking: 7 or 39%

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Sale Type:

REO/Bank Owned-11 or 61%

Equity Sale-4 or 22%

Short Sale-3 or 17%

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Financing Type:

New Conv. 1st-7 or 39%

All Cash-5 or 28%

FHA Loan-4 or 22%

VA Loan-1 or 6%

USDA Loan-1 or 6%

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Wow! For some reason it feels like the market has fallen off a cliff…..Whatever cycle the market is in there is still a micro-cycle within and we are in what I call the dregs of summer! That being said…our absorption rate for the San Benito County has reached 1 month. We have not seen this number in probably 2 years. Interest Rates remain historically low i.e. around 4.5% but lending standards are tougher than we’ve ever seen. The economy seems worse than what we’re hearing in the news…..Our market values have come down about 58% from the peak so if you can make a purchase…it is an awesome time to buy!

Single Family Residential
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Actives:
San Benito County-166 of which REO/Bank Owned-27 or 16%
Hollister-100 of which REO/Bank Owned-21 or 21%

Pendings:
San Benito County-200 of which REO/Bank Owned-35 or 18%
Hollister-162 of which REO/Bank Owned-29 or 18%

Absorption Rate:
San Benito County-.83 months supply of inventory or 25 days
Hollister-.62 months supply of inventory or 19 days
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Solds for the week: 11
High-$890,000 Equity Sale, New Conv. 1st
Low- $149,000 REO/Bank Owned, All Cash
Full-Price/Over-Asking: 3 or 27%
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Sale Type:
REO/Bank Owned-6 or 55%
Equity Sale-3 or 27% (1 was a investor flip)
Short Sale-2 or 18%
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Financing Type:
All Cash-5 or 45%
New Conv. 1st-5 or 45%
VA Loan-1 or 10%
FHA Loan-none
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Interesting week for the Solds. A couple of high selling properties both with more than $100,000 price reductions. Another interesting note is the number of all cash transactions! Wow…cash is still king!

It appears we are in the most difficult lending environment the industry has seen in a very long time if ever. Transactions almost never close on time. If you’re closing is only a couple days late count yourself as a lucky one. I have one transaction right now that has been in contract since May 15th and the buyer’s are just starting hope for loan docs to come next week!

Because of the difficult lending environment on my listings I’m now asking for the following:
1. BofA Pre-Qual (required on my BofA REO’s)
2. Pre-Approval from the buyers lender of choice including that lender’s DU Approval/DU Findings
3. Proof of Down-Payment/Funds to close

If a buyer can provide all of that…they’re serious about closing the deal!

Single Family Residential

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Actives:

San Benito County-173 of which REO/Bank Owned-29 or 17%

Hollister -106 of which REO/Bank Owned-24 or 23%

Pendings:

San Benito County-196 of which REO/Bank Owned-36 or 18%

Hollister-156 of which REO/Bank Owned-30 or 19%

Absorption Rate:

San Benito County-.88 months supply of inventory or 26-days

Hollister-.68 months supply of inventory or 14-days

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Solds for the weeks: 10

High-$357,950  Short Sale, FHA Loan

Low- $105,000  REO/Bank Owned, All Cash

Full-Price/Over-Asking-8 or 80%

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Sale Type:

REO/Bank Owned-6 or 60%

Short Sale-3 or 30%

Equity Sale-1 or 10%

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Financing Type:

FHA Loan-7 or 70%

All Cash-2 or 20%

New Conv. 1st-1 or 10%

Single Family Residential

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Active Homes:

San Benito County-173 of which REO/Bank Owned-25 or 14%

Hollister-105 of which REO/Bank Owned-21 or 10%

Pending Homes:

San Benito County-195 of which REO/Bank Owned-38 or 19%

Hollister-157 of which REO/Bank Owned-32 or 20%

Absorption Rate:

San Benito County-.89 months supply of inventory or 27-days

Hollister-.67 months supply of inventory or 20-days

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Solds for the week: 13

High-$396,000 Equity Sale, New Conv 1st

Low- $142,000 REO/Bank Owned, FHA Loan

Full-Price/Over-Asking-9 or 71%

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Sale Type:

Equity Sale-5 or 38%

        Investor Flip-2 or 15% of the total solds

REO/Bank Owned-4 or 31%

Short Sale-4 or 31%

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Financing Type:

FHA Loan-6 or 46%

New Conv 1st-5 or 38%

VA Loan-1 or 8%

All Cash-1 or 8%

Single Family Residential

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Actives:

San Benito Couny-167 of which REO/Bank Owned-26 or 16%

Hollister-99 of which REO/Bank Owned-24 or 24%

Pendings:

San Benito County-206 of which REO/Bank Owned-38 or 18%

Hollister-170 of which REO/Bank Owned-32 or 19%

Absorption Rate:

San Benito County-.81 months supply of inventory or 24-days

Hollister-.58 months supply of inventory or 17-days

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Solds for the week: 9

High-$530,000 Equity Sale-All CASH

Low- $145,000 Equity Sale-Seller carried New 1st

Full-Price or Over-Asking-2 or 22%

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Sale Type:

Equity Sale-6 or 67%

Short Sale- 2 or 22%

REO/Bank Owned-1 or 11%

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Financing Type:

New Conv. 1st-3 or 33%

FHA Loan- 2 or 22%

All CASH- 3 or 22%

VA Loan-  1 or 11%

Seller Financing-1 or 11%

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 Wow! Equity Sales still rule the day and a new one….Seller Financing!

Single Family Residential

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Active:

San Benito County-169 of which REO/Bank Owned-26 or 15%

Hollister-98 of which REO/Bank Owned-21 or 21%

Pending:

San Benito County-195 of which REO/Bank Owned-33 or 17%

Hollister-165 of which REO/Bank Owned-31 or 19%

Absorption Rate:

San Bentio County-.87 months supply of inventory or 26/days

Hollister-.59 months supply of inventory or 18/days

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Solds for the week: 16

High-$545,000 Equity Sale, FHA Loan

Low- $220,000 Short Sale, New Conv. 1st

Full-Price or Over-Asking: 5 or 31%

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Sale Type:

Equity Sale-8 or 50%

   Of those 8 – 5 were Investor FLIPS or

   63% of the Equity Sales!

REO/Bank Owned-4 or 25%

Short Sale-4 or 25%

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Financing Type:

New Conv. 1st-8 or 50%

FHA Loan-6 or 38%

All CASH-2 or 12%

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 I think I might need to add a new category under Sale Type: Investor FLIPS! 63% of the Equity Sales were Investor FLIPS and actually as a % of the total Solds they were 31%!

Mortgage Troubles ~ There Are Dignified Solutions

Single Family Residential

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Actives:

San Benito County-166 of which REO/Bank Owned-23 or 14%

Hollister-99 of which REO/Bank Owned-19 or 19%

Pendings:

San Benito County-195 of which REO/Bank Owned-33 or 17%

Hollister-163 of which REO/Bank Owned-28 or 17%

Absorption Rate:

San Benito County-.85 months supply of inventory or 25/days

Hollister-.61 months supply of inventory or 18/days

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Solds for the week: 21 (another week of late reporting sales)

High: $545,000 Equity Sale, FHA Loan

Low:  $110,000 REO/Bank Owned, All CASH (Tammy’s deal)

Full-Price or Over-Asking: 11 or 52%

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Sale Type:

Equity Sale-9 or 43%

Short Sale-8 or 38%

REO/Bank Owned-4 or 19%

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Financing Type:

New Conventional 1st-9 or 43%

FHA Loan-9 or 43%

VA Loan-2 or 10%

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Wow! Another week of big numbers but really they’re cooked just like the jobs report this week! Many late reporting – Sold’s. One I noticed all the way back to April 15th!

Look! The Equity Sales were king of the hill! Who said there’s not Equity in the marketplace? One third of all US homes have no mortgage against them! You won’t hear that news in the media.