Above please find the Washoe County Notices of Default (NODs), Notices of Sale (NOSs), Trustees Deed Filings (TDs) and New SFR REO Listings statistics for April 2013 provided to us by our friends at Ticor Title of Nevada, Inc. [Click on the chart above to enlarge.]
The number of filed Notices of Default continue to rise – again reaching their highest level since AB284 went into effect October 2011.
Here are April’s numbers (month-over-month):
- Notices of Default – up 11%
- Notices of Sale – down 22%
- Trustees Deed Filings – down 18%
- New REO listings – up 38%
Ticor Title’s commentary accompanying the statistics…
Notice of Defaults (NOD) increased significantly again. Notices of Sales and Trustees Deeds dropped a little this month and REO Listings increased slightly. The increasing NOD’s are partly because of the banks feeling more comfortable with AB284 and the proposed changes to AB284 (aka AB300) that are getting addressed at the current Legislative Session. We will know more about the outcome of AB300 first part of June…..Hopefully all good news.
As mentioned in prior comments, inventory in Nevada is down considerably and the real estate community is concerned about the lack of inventory available in the 2nd and 3rd Quarter. According to some numbers provided, new listings on MLS have increased considerably in the non-conditioned sales area. Non Conditioned Listings are properties that are not Short Sale or REO, but regular or equity properties….There back! Short Sale listings and REO new listings were stagnant in April compared to March. This big issue we are seeing is the median sales price. In April 2012, our median sales price for single family residences was $151,200. The Median Sales Price for April 2013 is $208,000. You do the math. Do you think this is healthy?
There are hundreds of qualified buyers ready to purchase but are getting beat out by cash buyers and investors. This trend is starting to look very similar to the BUBBLE we experienced in the 2004-2006 timeframe. It is hoped that Homeowners who want to sell take advantage of the market conditions and Banks, who are holding assets, will release a healthy amount of inventory, at an affordable price, to assist in our backlog of buyers waiting.
related post: Washoe County foreclosure-related recordings – March 2013
related story from the RGJ: Nevada remains No. 1 in foreclosures
Fargo
Guy Question,
Do you think its a good time to buy ??? Yes or No
Bob
As someone who has been used to up the price for the cash buyer/investor who, apparently, was going to get the home anyway, I’m already sick of the market.
I don’t know what is more annoying the “viewings are Tuesday, your offer needs to be in Wednesday” homes, the blind “is that your best offer?” comeback or the inevitable investor winning it up with the same bid you had. Maybe we will wait for the next bubble and crash (which, it appears, might be sooner than later).
Guy Johnson
Fargo,
Thank you for your question; however I’m not sure it has a yes or no answer. Much depends on your personal circumstances as a buyer. What is your time frame for purchasing? Do you need a house right now? Do you have flexibility in your purchase window? How long do you plan to live in the home you’re going to purchase? What is your price point? Do you plan to finance your purchase or pay cash? etc. etc.
If you are simply asking if the current market is a Buyer’s or Seller’s market, the answer is definitely a Seller’s market.
MikeZ
RE: “viewings are Tuesday, your offer needs to be in Wednesday” homes, the blind “is that your best offer?” comeback …”
When that’s the case, unless you have to buy, just sit back and let the market get frothy.
Unless the deal is just spectacular, I think cash buyers are dumb jumping in here with prices being pushed upward by 3% mortgage rates. Buying now, I would finance as much as possible, that’s the only way to compensate for the price corrections that will happen once interest rates rise back to 5-6-7% where they should be.
Hudson
My recent experience. Note I was motivated and needing to get out of my 1543 sq. ft. ASAP due to the family size increasing exponentially withing the next 5 months.
Home listed on a Saturday one of only about 16 homes that fit our criteria in South Reno (>3000sqft, 5BR, single story). Majority of other homes that fit the stats were either pre 2000 built or 2 stories on micro-lots (didn’t really want a two story). Listed as a short sale at X. Viewed it, liked it, but looked at the other new developments in the area. Not really impressed with the new development stuff out there as it was either to small, or came with some larger HOA $ or was just going to be too long a wait to be built (Stagecoach stuff they been teasing for a year). Week later (Sunday) it was still showing active. Decided to take a second look. Was told that buyers were no longer accepting new offers and had gotten several above listing price and were planning on accepting one Sunday. Considered it lost. Tuesday showing still active. Realtor rang us…”offers above list were contingent on appraisal, they’d be interested in something without a contingency”. Tried to throw a 10k above appraisal offer, but the buyers were set on their highest contingent offers of X + 50K. Offered X +50K, waived appraisal. Offer accepted. Appraised at X+50K. Note at that level it became conventional for them.
Overpaid some? Ya. Needed the house tho…huge weight off my shoulders and our 1543 becomes a full profit rental, which makes the mortage easier to swallow.
Was really sweatin the appraisal, but apparently banks and appraisers are playing ball in this environment.
One thing is certain…i wouldn’t expect banks to open the flood gates on inventory. They will play this EXACTLY right and get top dollar for the homes they took back after they got bailed out. I figured best to overpay some now than really have to overpay a lot more in 12-24 months if things keep going the way they are. And there’s the peace of mind factor. I was really hoping to make this the last house i buy in reno (native nevadan), but my hopes of moving west of 395 will have to wait a while longer
Maximus
I am waiting it all out honestly to buy with cash and move from CA, 3-5 years I hope to see correction (or better, crash). I really wanted to buy a 3-4 unit rental, but there just aren’t any decently priced (or decent condition) ones left on MLS. Even the investor types seem pretty damn desperate so I will wait.
Prices will rise until banks hit their target, then we will see the trickle of foreclosures become a stream but never a flood, except if organic sellers start trying to get out, then they might rush it a little. Once that inventory is moved federal policy will change and let the market fall on its face. Seems like an easy enough way to rip off the public.
ABxxx is just a stall tactic. However, I guess people that are squatting take better care of their homes than the banks ? Who knows how much of the inventory is now in terrible shape from all these delays. Get ye to market already.
CMS
Anybody have any idea how many vacant bank owned houses there are in Reno-Sparks?
The word floating around the Washoe County Assessor’s Office is between 10,000 and 12,000.
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