Where Have All the REOs Gone?

I have been keeping track of REOs in Mission Viejo and Lake Forest, CA and they are drying up. Nov. and Dec. there were 128 REOs sold. Jan. and Feb. 2009 there were 88 REOs sold. It is WOW! Now lets look at what is on the market for the same area in March and April. How about only 24 available and 69 are in escrow. This good news for South Orange County!

There was at one time an abundance of low priced properties under $400,000 vacant and bank owned. I have personally shown properties that where on the market as REOs for only 2 days, bought, and fixed up alittle then sold again for a profit.

We are seeing the market holding the price. I have a client wanting REO detached 2 bedroom for $300,000 or under and there aren't any. There were some 3 months ago but not anymore.

I think it will stay at this level till summer and then drop some in the fall. As for 2010 I feel there will be an increase in housing because the available properties will be decreased.

I hope I'm right!!! (:-))