Short sales are still really a prevalent issue in Las Flores with nearly half of all Active listings, more than half of all properties In Escrow, and nearly half of all Sold listings short.
The most active price range is between $500,000 and $750,000. We still are still the over $750,000 market as very slow throughout Orange County due to the tight lending environment.
The best news – we’ve had 3 short sales successfully close escrow this month. There hasn’t been a successful short sale closing since the first week of July this year. Time will tell whether these 3 closings are merely the culmination of the long short sale process, or if we are beginning to see the emergence of the long promised improvement in the processing of these sales in the banking systems (which we keep hearing about).
Inventory is very low and is likely to remain low throughout the remainder of the year as we approach the holiday season.
If you have questions about the value of your Las Flores home, or about buying in Las Flores, don’t hesitate to reach out.
(949) 939-2514
linsey@ocrealestatevoice.com
Unfortunately, the short sales in Las Flores are abundant at all price points. Short sales comprise nearly half of all the inventory – 7 of 15 current active listings. The bulk of them (5) are in the $500 to $750 marketplace.
The one big failing in my video post is the lack of mention in the short sale closings – there are none in the last 30 days. It’s important to note because of the abundance of active homes and those in escrow that are short sales – in 30 days we haven’t had 1 short sale successfully close.
The pending, or ‘In Escrow’ inventory, are slightly skewed by the high number of short sales. Many of these properties have been in escrow for months, and some may ultimately foreclose. Out of the 17 in escrow – 11 of them are short.
So What is the Good News?
The good news is that there actually is good news. There are four big changes to note for Las Flores real estate conditions.
Active inventory is down. In March, there were 23 active listings and today we have only 15.
Pendings are up. In March, we had 9 pending, but today we have 17 in escrow.
Closings are up from 4 to 6 from that same 30 day period.
2 of the 4 closings in the last 30 days were over $750,000. In previous analysis, we had no movement at all in those price points.
So What Does This Mean If You Are Selling in Las Flores?
Note your price point. Under $600,000 seems to be moving nicely and there is significant demand for equity sellers – those that can sell without bank approvals. Just don’t think that it means you can expect a premium sales price. The ones that sell are the ones that are priced right. Even over $750,000 is moving for the first time in a while, but you must be priced to reflect market conditions.
So What Does This Mean If You Are Buying in Las Flores?
Prices have come down dramatically but available properties are tough to find. Be prepared to watch and wait carefully for the right fit. Speak to your agent about automatic notifications if you are focused on Las Flores – especially in the lower price points.
So What Does This Mean If I Am In A Short Sale Position?
If you need to sell and you owe more than your home is worth, develop a strategy that makes sense. Talk to someone you trust and someone that understands your circumstances and your needs. Don’t pay upfront. Be careful. There are NO guarantees in this area of the market. Every short sale is different and every bank is different. And, honestly every day it can change.
Questions?
If you have questions, I’m happy to help. There is no obligation and no pressure; we really do want to serve the homeowners and potential buyers in Las Flores. Let us know how we can best help you.
Las Flores continues to suffer some of the same conditions we are seeing in the overall South Orange County market – very little activity in the upper price points, a large number of short sales, and very low bank owned activity.
As of today, there are 23 homes on the market in Las Flores and 10 of them are short sales, and presently there are no bank owned homes active. Unfortunately, I’m fully expecting the foreclosures to increase in the next 30 to 120 days (refer to my post on OC Real Estate Voice) and subsequently bank owned listings to increase.
Ironically, even with the abundance of active short sale listings, there have been no short sales that have successfully closed in the prior 30 days. There are currently 5 short sales in escrow. These can be in escrow for as much as 6 months, so we can expect the number of short sale closings won’t be dramatic in the coming days. As a matter of fact, the MLS notes only 2 short sales have successfully closed year to date in Las Flores, the last one was 2/17.
The highest closed sale in the last 30 days is in the Avelino tract for $525,000. The higher price points (over $750,000) is particularly slow with 8 active listings, no recent sales, and nothing presently pending.
If you ever have questions about the Las Flores real estate market, these numbers, or conditions in Orange County, please consider me a resource. If you, or someone you know, is currently thinking of buying or selling in Las Flores, I always appreciate your recommendation.
To contact me, (949) 939-2514 or email me at linsey@ocrealestatevoice.com.
All information and statistics are from SoCalMLS and are deemed reliable but not guaranteed.
As March comes to an end, it’s time to do a quick recap of the active inventory on the market in Las Flores, as well as examining what has sold. Because the price point has a big impact on what is currently moving, I’ve broken it down by price point and distress sales.
Take note that while the bank inventory is currently at zero, it will come back. The moratorium on Notice of Defaults ended (which is the first step in the foreclosure process) and sadly, the NOD filings are back to previous levels. Stay tuned for more on that.
Please note: The closed sales are in the last 30 days.
If you ever have any questions about the numbers presented here or questions about the value of your own home in today’s market, don’t hesitate to ask. There’s never any pressure or obligation. That’s just not how we roll here.
Information based on SocalMLS and deemed reliable but not guaranteed.
Las Flores is not unlike many communities these days in Orange County. We are plagued by low demand and a good deal of short sale inventory. Short sales are when the encumbrances/loans against the property are higher than today’s market value plus costs of sale.
Currently we have 19 Active Listings in Las Flores. Of that inventory, we have no bank owned homes presently and 8 homes, or 42% of the inventory, are short sales. Consumers that have actively been looking understand the challenges today with short sales and unless they are very attractively priced, they generally shy away from them. Consequently the short sales are forced to price themselves very aggressively which has the unfortunate side effect of a downward pull on pricing in the neighborhood. The average Days on Market is 105 days for the active market.
Currently there are 6 homes in escrow – 2 bank owned homes and 4 traditional, equity sellers. The average days on market for the homes in escrow is 41 – which helps to illustrate the buyer demand today. They are focusing heavily on properties that they can close.
There were only 2 homes that closed escrow in the last 30 days in Las Flores. One was a bank owned home. The demand for this distress inventory in the under $500,000 range remains high all over Orange County. The bank owned home sold for 101.54% of original list price.
The other closed sale was a short sale that listed at the end of August last year. The sale price was 84.9% of the original list price.
As always, if you have questions about your individual situation, current values, or neighborhood trends, I am always here to help. If you are considering buying a home in Las Flores, please visit the Search For Homes page for all the Las Flores homes currently available and let me know if you have questions.
