Tuesday, June 25, 2013

Santa Clara County Foreclosure Update 2013

San Jose foreclosure
If you are looking for a bank owned home in Santa Clara County don't hold your breath. The number of foreclosures in Santa Clara County have plummeted in 2013. Here are the numbers:
Active listings: 13
Pending sales: 18
Closed Escrow in 2013  163
Active listings: 1215
Pending Sales: 1665
Closed escrows in 2012:  4982
Active listings: 1 Percent
Pending Sales: 1 Percent
Closed Sales: 3 Percent

Active listings: 10
Pending sales: 16
Closed sales in 2013: 2026

Active listings: 384
Pending Sales: 673
Closed Sales 2013

Active listings 2.6%
Pending sales: 2.4%
Closed sales in 2013: 3.3%


What do these numbers tell us? Foreclosures are down, by a lot. There are less than half the number of bank owned homes sold in the first six months of 2013 compared to the second six months of 2012. Additionally there are fewer active and pending listings by percentage compared to closed sales in 2013. This leads me to believe there will be even fewer closed sales in the second half of 2013.

There are many reasons for the decreased in foreclosures in 2013. Many of the large banks had settlements with the governent in which they agreed to work on loan modifications and principal reductions instead of foreclosures. Also short sales have been getting approved a lot more than previously rather than being foreclosed.

There is chatter in the foreclosure world that now that the banks have fulfilled their obligations they will begin foreclosing again. While this may be true in some markets, I do not believe it will happen in Santa Clara County. Prices have increased dramatically in Santa Clara County. In many cities we are back to values seen at the peak in early 2008. With these higher values owners can sell if they can not afford the payments, or take advantage of the historically low interest rates and refinance.

So if you are looking for a bargain in Santa Clara County it is probably a good idea to look for homes other than foreclosures. It is unlikely this decrease in bank owned homes in Santa Clara County is going to change in the near future.

If you have any questions about foreclosures or any other type of sale in Santa Clara County please feel free to contact me.

Marcy Moyer
maryc@marcymoyer.com
D.R.E. 01191194
650-619-9285

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