BANK OWNED (Foreclosure/REO) HOME SALES DATA FOR FOLSOM, CA – MARCH 2012

BANK OWNED (Foreclosure/REO) HOME SALES DATA FOR FOLSOM, CA – MARCH 2012

This is the latest monthly report of our more than four-year study of bank owned (Foreclosure/REO) home sales in Folsom, CA.  This report covers March of 2012.

There were 10 Bank Owned (Foreclosure/REO) homes sold in Folsom this month, two less than in the previous month.

The average days-on-market decreased from 42 the previous month to 36 in March. None of the homes had been on the market for over 100 days, and 50% of the homes that sold were on the market for two weeks or less.  Well prices homes in good condition are selling quickly.

The 10 Bank Owned (Foreclosure/REO) homes that sold represent only 14% of all homes sold in Folsom this month.  The very low bank owned home inventory is the reason this segment or market is so low.

The available inventory of bank owned homes in Folsom increased to a 1.2-month supply, up from a .8-month supply the previous month.  That inventory level has not exceeded a two-month supply for over a year. The inventory for bank owned homes in Folsom peaked at a 2.8-month supply in January 2011, and has not reached that level since. The available inventory for ALL homes available dropped to a 1.1-month supply, down from a 1.5-month supply the previous month.  We have not had an inventory of more than a three-month supply since February of 2011.  Pundits tell us that a 6-month supply is neutral market, so Folsom remains a strong seller’s market for both bank owned homes and all other homes on the market.  The Folsom market reflects what is happening in the rest of California and the western US.  Inventory levels are very low.  This factor is going to have an impact on housing prices in the very near future.

The average cost-per-square-foot for bank owned homes was $ 144 in March, down from $ 147 in February. The average cost-per-square-foot for ALL homes sold in Folsom in March was $ 154, up from $ 151 the previous month.  It has been moving within a narrow range for the past year.  

The overall sales price for REO homes was 99.6% of the final asking price and 98.8% of the original asking price.  In addition, 60% of the buyers paid the asking price, or more, for their Folsom bank owned Foreclosure/REO) home in March. 

Based on the cost-per-square-foot, bank owned homebuyers saved ten dollars per foot on their bank owned home compared to the cost for all homes sold in Folsom this month.  When applied to a 2,500 square foot home, that represents a savings of $ 25,000: a tidy sum

Given the overall data, it is obvious that homeowners who do not have to sell are keeping their homes, rather than accepting current market value offers.    

If you have any questions about purchasing a home in Folsom, a Folsom Foreclosure, or an REO anywhere in the area, feel free to give us a call  (916) 337-0658.

The data follows: