Thousand Oaks Foreclosure Report May 2012
We continue to talk to more and more investors who are looking to take advantage of opportunities in the housing market. I thought now would be a good time to give you an update on how housing is holding up in Thousand Oaks and the surrounding areas (Conejo Valley). I can tell you this, we are seeing more activity in the market as a whole. Homes that are priced correctly are selling quickly. Lower priced properties are receiving multiple offers and inventory is way below normal levels in some segments of the market. But what is happening in the Foreclosure Market ?
New Notice of Default Filings
26 new notice of defaults were filed in Thousand Oaks in April 2012. This was an increase of over 62.50%, add March and April filings together and they are up over 70% from this time last year. Looking at the entire Conejo Valley area Westlake Village saw filings increase 63% with 31 NOD’s filed and Newbury Park had a slight decline, 16% with 20 filings. A notice of default is filed by the lender when a borrower is more than thirty days late on their payment and this is the first step in the foreclosure process.
Notice of Sale Filings
Notice of Sale (NOS) filings were down 30%, with only 14 new filings in April, Westlake Village was down 5% with 19 filings, and Newbury Park down 23% with 17 filings. The Notice of Sale is the last step in the foreclosure process. This typically means the borrower has less than 30 days to bring the loan current or make arrangements with the bank before the property is sold at Trustee Sale. Typical borrower options at this point are to work out an agreement with the lender (loan modification), agree to a short sale, or pay back all late payments and fees before the sale date , or file bankruptcy. The lender may also postpone the sale simple because they haven’t had time to do all the paperwork or the loss they will be taking is larger than they want on the books right now.
General Conejo Valley Summary
We continue to see more sales cancelled 104 in all from Feb to April 2012. Cancellations do not mean the property won’t eventually be foreclosed on. It simply means the sales was cancelled or postponed from the scheduled sale date. In fact most of the properties that ended up being foreclosed on had a prior sale date cancelled. 23 homes sold at trustee sale to investors between Feb and April at an avg discount of 15% to perceived market value. There is more competition at the sales, the final sale price was 9% higher than the opening bid. During this same period 43 properties were taken back by the lender. The avg price to perceived value in this case was 4% higher market value. This is a hard figure to track due to several nuances. And the estimated value used is calculated using a general algorithm and may not be exact.
We expect to see foreclosures to continue to come on the market. However it will be interesting to see in the mortgage settlement agreement causes more sales to be cancelled as lenders work with more borrowers. If this is the case we will expect to see more short sales and loan modifications. If you would like additional information feel free to contact us. You can download local market reports below.
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Local Market Reports