Riverside County Foreclosures Pull in Record Sales
Category: Real Estate Trends
Published: Tuesday, March 03, 2009
The final analysis of the January home figures show that once again, Riverside County foreclosures are leading the charts in area home sales, with Murrieta foreclosures and Temecula bank homes accounting for 65% of sales in the southwest county region. According to market research firm MDA DataQuick, Murrieta was fifth in the County in terms of number of sales, at 203, with Temecula a close sixth with 189. Not surprisingly, home prices in the county also continue to take a beating, down 40.5% from January a year ago. The median price has dropped from $330,000 in 2008 to $195,000 today.
Temecula, Murrieta Price Bottom Could Be Close
These are record low prices buyers aren't likely to see again. Sales that are as comprised of this many foreclosures indicate the banks are moving their Riverside County REO properties as quickly as possible. Once the current supply is gone, and with new federal regulations and economic stimulus programs to halt foreclosures that could be sooner than people think, prices will begin their normal rate of appreciation and buyers can expect to find fewer deals and sellers likely to bargain. Median prices in Murrieta, where Murrieta foreclosures account for nearly 75% of the market, hovered at $235,000, down 31.59% while Temecula foreclosures have forced that community's median home prices down 37.5% to $250,000.
Perris, Hemet Foreclosures See Largest Price Drops
Bank owned homes in Perris and Hemet saw the largest regional price reductions in 2008, with Hemet foreclosures coming in at $125,000, down nearly 47% since January of last year and Perris foreclosures pulling prices down 48.77% to $151,000, according to the DataQuick report issued the last week of February. While significant for current homeowners looking at long term home values, these figures also indicate that market pricing has already adjusted to local income levels, making it easier for people already living in these communities to afford a home. First time home buyers account for a large portion of Murrieta and Temecula foreclosures sales, with buyers understanding the appreciation potential of long term home ownership.
The market conditions that led to the current foreclosures crisis have in large part been remedied by lenders tightening their underwriting criteria and falling interest rates. The subprime mortgage companies have largely been put out of business by declining home values that make obtaining mortgages easier for average buyers to obtain, so another large round of area foreclosures is unlikely. Buyers wanting to take advantage of these unprecedented home values should act quickly before the current supply of bank owned homes is gone. Contact the foreclosure specialists at Oak Tree Realty Group Murrieta today at 1-877-226-4800 for information on how you can purchase a Riverside County foreclosure before it's too late!
The $8,000 first time homebuyer’s credit is set to expire in November and buyers are busy finding the best deals on Murrieta foreclosures and Temecula bank homes. The team at Oak Tree Realty Group Murrieta points to possible neighborhoods for great deals on affordable Murrieta bank homes.
Murrieta foreclosures led Southwest Riverside County home sales during the month of July according to market analyst MDA DataQuick. Nearly 1,000 homes changed hands last month and the experts at Oak Tree Realty Group Murrieta put the numbers in perspective.
Buyers of Temecula foreclosures may have less competition from first time homebuyers in the coming months, thanks to a plan by the City of Temecula to complete 110 half-finished condominiums and turn them into affordable housing apartments for rent. The team at Oak Tree Realty Group Murrieta offers insight into the plan.
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