Sunday, November 4, 2007

Weekend observations

I had a little time to drive around this weekend and here's a few observations.

First I drove around the Mockingbird Canyon area on Friday while waiting for my car to be serviced at Walter's. I noticed A LOT of "for sale by owner" signs. These don't show up in the numbers and statistics we keep hearing. I wonder how many more homes there are actually for sale than the statistics tell us?. Second observation up there was the amount of open houses on a Friday. Who goes to open houses on Friday's? Third observation was the stunning amount of empty homes. I stopped at quite a few big expensive homes that were empty. This is just a swag, but it looked like 1 in 4 homes that are for sale up there were empty. All the model homes were empty as usual, no one looking. I did see one home I really liked and checked it out out when I got home. I stopped in and looked at the home since it looked like an REO (the lawn was dead, etc). I found it on Redfin for $900k. It looks like it sold in 2005 for 1.13M and now it's listed for 900k. It does not say it's a REO but it must be with the dead lawn and being empty. It's a cool looking house (the real house looks way better than the pics), it looks like a castle with stone walls. It's had some wild price swings over the years and I'm not sure what's going on with it. Anyway it's only 3 bedroom so, no bueno for me. Maybe I'll offer them $420 for it, just to mess with them....

Saturday me and the wife were out running errands and I tricked her into looking at some new model homes over in Canyon Crest. She hates looking at homes! The prices were $490-$600k, completely delusional! On the way home, just around the corner from my house I noticed a guy sitting on his lawn trying to sell his ATV's and his boat. He also had a For Rent sign stuck in the lawn of his house. I remember the house being for sale for the last few months. Looks like he could not find a sucker and now he needs to sell his toys. I'm sure he's not selling them to make a few more payments. More likely is that the apartment complex he's moving to has not where to keep the stuff.

I've also noticed a big increase in the amount of homes for sale in the areas I'm interested in. I was checking Redfin this evening and saw that quite a few new homes had popped into my search areas. Of course the prices on most of them are still insane but I did notice a few REO's that were listed way under the last sales price. So there is hope, it appears the banks are starting to chop the prices.


Angela said...


That is a nice area you are looking in. It is actually in Woodcrest. I am about a mile from there and take my morning walks though that neighborhood. There are a couple of homes that are REO's and prices are starting to come down there too. Not just the new homes or lower priced ones.

I'm looking for some fire sales on Quads and an RV. My kids are getting bigger and outgrowing what we have. Do you think now is the time to start shopping or wait until there is more desperation to get the really good deals?


golfer_X said...

I'de wait until spring for the best deals on the toys. I think the deals will be better near tax time. The dealers will probably be hurting too after a long slow winter.

I like that area of Riverside and I hope the prices come down to reasonable levels. I've seen a few REO's below $600k but that's still too high. They need to get under $500k then I'll get excited.

Anonymous said...

Great blog!

How about a post on the Redlands or Yucaipa area? We've been ignored!