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follow tovarichpeter 2016 Nov 23, 2:41pm
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John Bazemore/Associated Press archives In the first nine months of 2016, the Bay Area saw a 10.3 percent year-over-year decline in home sales across the region, including double-digit decreases in Alameda County, Santa Clara County and San Francisco.
From the article:
"Ironically, it is a sign of economic health â€” the diminishing number of foreclosures and distressed properties â€” that is contributing to the marketâ€™s slowing. According to the report, distressed property sales â€” down 35.7 percent on a year-over-year basis for the first nine months of 2016 â€” have declined so dramatically that they now are a drag on overall sales through the region.
When the Bay Area was in the throes of recession early in 2009, distressed property sales â€” â€œshort salesâ€ of underwater properties and sales of foreclosed properties â€” accounted for an astonishing 69.1 percent of all sales in the region. In the first nine months of 2016, distressed sales accounted for only 8 percent of total sales.
Because most distressed properties sell for $500,000 or less, their diminishing numbers contribute to the shrinking supply of affordable homes. During the first nine months of 2016, sales of homes priced at $500,000 or less fell 26.7 percent on a year-over-year basis throughout the region, while sales of distressed properties in that same price category fell 45.7 percent."
Impossible. Real estate never goes down.
I perused Zillow for the first time in a long time and was surprised at how many foreclosures there were in Santa Cruz zips.