“Home sales jump in December, reaching highest level in four years
Highest levels in 4 years point to market rebound”
Well, we hope that’s true. It’s a hopeful article about our local housing market, pointing to a 15% rise in home sales, year over year. Yay!
That being said, there are something like 77,000 housing units in Shasta County. Last year, about 250 more homes sold than the year previous (the noted 15% increase). That works out to .003 of the total market. I’m not sure that three one-thousandths of the market is enough for meaningful trend spotting. Although sales were up, prices were down. That seems important.
With something like a quarter of all homes with mortgages owing more than their home can sell for (underwater mortgages), the price trend is still going in the wrong direction. Until that price trend reverses, housing activity will continue to remain depressed.
Then there is the so called shadow inventory. Scattered throughout the county are a number of homes in some state of pre-foreclosure. Some, like the example below, remain in this limbo for extended periods. How many homes are coming, and when will they be put up for sale?
Great time to be a buyer though. Low interest rates and low prices. We know there are still more foreclosures coming, although inventory is currently low. You can always see all the local housing inventory without registering at TheAddressRealty.com. And you can always find a full list of distress sale properties that are actually available at ReddingForeclosures.info. Both sites work great on your smartphone or tablet computer.