Latest / Connor with Honor: AI, Real Estate and Real Life / Foreclosure Listings in Santa Clarita, notice of default filings for February 21, 2024

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Foreclosure Listings in Santa Clarita, notice of default filings for February 21, 2024 · Connor with Honor: AI, Real Estate and Real Life

• 0:00
  SPEAKER_00: Foreclosures, RO, short sales, distressed real estate properties.
• 0:04
  SPEAKER_00: Good morning, everybody.
• 0:05
  SPEAKER_00: I am Connor with Honor.
• 0:07
  SPEAKER_00: Whenever you're watching this, good morning, good afternoon, good evening.
• 0:09
  SPEAKER_00: Today's February 21st, 2024.
• 0:12
  SPEAKER_00: I do want to talk about the foreclosure market.
• 0:15
  SPEAKER_00: Not that there is much, but if I run all the Santa Crita Valley cities for the daily inventory, we came up with 273 active listings.
• 0:24
  SPEAKER_00: Of those, about a dozen are coming soon.
• 0:26
  SPEAKER_00: That is a reduction from yesterday's where we were in the 280s.
• 0:31
  SPEAKER_00: Now, as far as today goes, I always talk about the foreclosure and distress real estate market.
• 0:36
  SPEAKER_00: Back in the day, I was blessed to have Citibank or Citigroup train me in the handling of their foreclosure assets.
• 0:42
  SPEAKER_00: So I bring a lot of that knowledge to these particular broadcasts on Wednesday, and I know everybody out there is looking for that smoking hot deal on homes, trying to find something that's discounted below market value that they can pick up.
• 0:55
  SPEAKER_00: The unfortunate thing about that strategy, at least here in Southern California, is everybody else is also doing that.
• 1:02
  SPEAKER_00: We have a lot of people that contact me personally and say, hey, I'm looking for investment properties.
• 1:08
  SPEAKER_00: I'm looking for properties that are priced a lot lower than market value.
• 1:12
  SPEAKER_00: Please introduce me to those particular sellers and I'll make it worth your while.
• 1:16
  SPEAKER_00: Ladies and gentlemen, there's not a lot of people out there that are willing to give away the real estate or sell their properties for less than the actual price, especially in a hot market.
• 1:26
  SPEAKER_00: And when you're in a slower market, it's not as appealing for those investors out there.
• 1:31
  SPEAKER_00: So asking those questions, looking for those properties, while people might stumble upon them every once in a while, there is not a plethora of them on the market for sale.
• 1:41
  SPEAKER_00: In fact, I'll give you two real estate listings that are on the market currently.
• 1:47
  SPEAKER_00: Both of them are categorized in some kind of a distressed.
• 1:50
  SPEAKER_00: We have one that's an NOD, which is a notice of default has been filed.
• 1:55
  SPEAKER_00: Probate also requires court approval.
• 1:59
  SPEAKER_00: And also another one where a notice of default has been filed, also probate.
• 2:04
  SPEAKER_00: So these are properties that are in the foreclosure process.
• 2:07
  SPEAKER_00: Notice of defaults, for those of you watching and not familiar with that process, is a basically a filing that the bank puts forth on a property where they're not getting their proper payment from the owner of the property, the one they have a contractual agreement or the mortgage with.
• 2:25
  SPEAKER_00: So what the bank does is they put in a notice of default telling the court, hey, listen, we have an agreement here, it's gone past a certain amount of time, and whatever that is, usually, well, back in the day it used to be a lot longer than it is now, I believe.
• 2:39
  SPEAKER_00: Now, once that 30-day point comes in when somebody hasn't made their mortgage payment, so basically you're 30 days late or a month late, that's when the banks start to get a little concerned.
• 2:49
  SPEAKER_00: Because back in the day, back in 2007, that particular foreclosure cycle, we did see a lot of properties that took months before a notice of default was even filed against it after the sellers had quit paying.
• 3:02
  SPEAKER_00: But of course, it was like a house of cards tumbling down.
• 3:05
  SPEAKER_00: There were so many distressed properties, so many people not paying back then.
• 3:10
  SPEAKER_00: The banks really didn't have much of a choice, and they were so overwhelmed with the process they bought in, brought in droves of people to be able to handle the foreclosure inventory.
• 3:19
  SPEAKER_00: And then that market also speared off a short sale market where people were wanting to sell their houses for less than what they owed the bank, and that required bank approval and some kind of letter of intent, showing of hardship.
• 3:33
  SPEAKER_00: So we see those.
• 3:34
  SPEAKER_00: These could these two properties that are one on King King's Crest Drive, one on Avenue of the Oaks number D.
• 3:42
  SPEAKER_00: I can pull that information and get that to you.
• 3:46
  SPEAKER_00: But again, we have longer days on market timeframe, so it's exceeding the normal Santa Clarita Valley average that would indicate there could be some issues with the properties, but again, it's going to depend.
• 3:58
  SPEAKER_00: Usually, right now, Santa Clarita has been reduced to around 37 days on market, which is down from 52 in December of last year.
• 4:07
  SPEAKER_00: We're only capturing a month of data though, so really we need a longer trend.
• 4:12
  SPEAKER_00: But after every holiday season, the market starts to kick up, and that's where we find ourselves today.
• 4:18
  SPEAKER_00: The market is starting to increase as we move towards spring, and then of course summer.
• 4:22
  SPEAKER_00: Those are the hottest times for most real estate markets.
• 4:26
  SPEAKER_00: Santa Crita Valley and the cities within are no different.
• 4:29
  SPEAKER_00: So we're starting to see that acceleration.
• 4:32
  SPEAKER_00: The issue is going to come down, and this is what people seem to be well, sellers are enjoying it, home buyers are not, and that is the high competition and the low inventory.
• 4:42
  SPEAKER_00: When a seller puts their house, us put their house on the market, that property doesn't take very long.
• 4:47
  SPEAKER_00: And of course, that new average is around 37 days for January.
• 4:50
  SPEAKER_00: And that includes being on the market and then closing escrow.
• 4:54
  SPEAKER_00: And if you can imagine, escrow has a time frame of approximately 30 days, depending on the type of loan.
• 4:59
  SPEAKER_00: Some loans take a little bit longer.
• 5:01
  SPEAKER_00: Some loans, like conventional loans or those with higher down payments, actually can close even faster than the 30 days.
• 5:09
  SPEAKER_00: And some other loan types can too.
• 5:10
  SPEAKER_00: It's going to depend on the lender, their connection with the people that they're using for appraisers, their underwriters, and how fast people are getting things done on their end.
• 5:20
  SPEAKER_00: So they could actually move through and close a lot of different loan types a lot sooner than market average.
• 5:26
  SPEAKER_00: But if we take in a 30-day average of escrow time frame, look at then 37 days, is where that average happens to be.
• 5:39
  SPEAKER_00: And if it's multiple offer situation, then there's a little bit of time used up within that seven days for bantering back and forth, where a home seller is going to be able to approach the home buyers that have submitted offers via their agents and say, listen, Jack, not that they're all named Jack, but basically these are the terms that we'll agree with, or we want to change the terms and maybe ask for highest and best offerings, maybe more money.
• 6:05
  SPEAKER_00: Maybe they want the buyers to maybe waive some contingencies or shrink their contingency time frames from what's in contract to make it more appealing to the seller to have a faster closing and also the buyer getting past those contingency removals, which really locks them into the transaction.
• 6:22
  SPEAKER_00: And at one point, once they remove all of their contingencies, it locks them in pretty good because whatever that deposit is, typically, if the buyer cancels after they remove all of their contingencies for any reason after that, usually that deposit becomes property of the seller.
• 6:38
  SPEAKER_00: It's it looks great on paper, but what happens is that time frame has also elapsed.
• 6:44
  SPEAKER_00: So now the sellers, even though they might have the buyer's deposit as part of their trophy, they still have delayed the sales process of the property.
• 6:52
  SPEAKER_00: Now they have to go back on market and their agent has to answer the question, what happened?
• 6:58
  SPEAKER_00: And if it has something to do with the residence, that could be an issue for future buyers.
• 7:03
  SPEAKER_00: And of course, the agents can't hold back from that.
• 7:05
  SPEAKER_00: They have to be completely upfront and honest and fully disclose all of the information that they found out.
• 7:11
  SPEAKER_00: And if they are representing the seller, then they'll have an intimate knowledge of what exactly happened.
• 7:18
  SPEAKER_00: So then they'll be able to offer that to the people that are calling in, the other agents, and so on.
• 7:22
  SPEAKER_00: It can't be held secret.
• 7:24
  SPEAKER_00: That's why it's really good to have your own agent fighting for you on your side.
• 7:29
  SPEAKER_00: And most agents now are using a buyer broker agreement that is able to put a buyer with their buyer's agent in contract, just like the seller and their agent are within contract, too.
• 7:42
  SPEAKER_00: Quasi a retainer within real estate, except no money changes hands, but there's an actual signed contract known as a buyer broker agreement, which does facilitate and basically cinches up that relationship between the buyer and their agent.
• 7:59
  SPEAKER_00: Something to consider, and you'll probably see that out there when you start to look for real estate.
• 8:04
  SPEAKER_00: It's really a very safe and a very healthy protection for those people that are looking to purchase real estate.
• 8:12
  SPEAKER_00: As far as foreclosures go, we're still watching.
• 8:15
  SPEAKER_00: There's not very much on the market with regard to that.
• 8:18
  SPEAKER_00: My suggestion is whenever my buyers are looking for real estate, depending on the area here in Santa Clarita Valley, things are going to move a little bit faster than the further out we get.
• 8:29
  SPEAKER_00: For example, Palmdale, Lancaster, and the Greater Antelope Valley, those properties are going to move a little bit slower than Santa Clarita, but faster than Santa Clarita.
• 8:36
  SPEAKER_00: As you get closer to Los Angeles, Granada Hills, Northridge, all of those areas in the San Fernando Valley, Silmar, those are going to move even faster than Santa Crita Valley.
• 8:47
  SPEAKER_00: And usually those offers are even more multiple and more situational with regard to many people very interested in those real estate listings, and then that competition becoming even hotter than it is here in Santa Cruita Valley.
• 9:02
  SPEAKER_00: The further we see as we get away from Los Angeles, the slower the market tends to be here in Southern California.
• 9:07
  SPEAKER_00: Now, as far as foreclosures go, one of the things we look at, and I was talking about this, before they go foreclosure, there could be some signs of distress.
• 9:15
  SPEAKER_00: It could be that there is a property that has a notice of default file where that particular owner is freaking out, not knowing what to do next, because maybe they lost their job, maybe they really don't have the wherewithal to communicate very well with their bank.
• 9:29
  SPEAKER_00: Maybe the bank that has the mortgage isn't one of those massive banks that we all know by the beautiful signage and the frontal property that they have as far as office space for the bank.
• 9:39
  SPEAKER_00: Maybe it's something nobody's ever heard of.
• 9:42
  SPEAKER_00: That particular owner having lost their job and becoming in a distressed nature, like a short sale, or maybe potentially having that notice of default filed on them, it's really good that they get that guide.
• 9:54
  SPEAKER_00: And in some cases, those properties, because it does require bank approval versus the seller approval in a way, the bank could establish a lower price.
• 10:02
  SPEAKER_00: And if you're in on it at the beginning, that could be an option for you investors out there.
• 10:07
  SPEAKER_00: But there's a lot of footwork and a lot of due diligence that has to happen prior to you knowing if this is even a possibility with an individual property that's had some kind of a default filed on it.
• 10:19
  SPEAKER_00: It's something that we look at for our investor clients.
• 10:21
  SPEAKER_00: If that's something you're interested in here in the Santa Curita, not too far outside that area, just because it requires door knocking and footwork, please let me know and we can work on that together and I can explain more about that process.
• 10:35
  SPEAKER_00: And of course, regular buying, regular selling, that's all day long, whenever you need it.
• 10:39
  SPEAKER_00: Just let me know.
• 10:40
  SPEAKER_00: We'll be able to take very good care of you.
• 10:42
  SPEAKER_00: I do appreciate you watching the Wednesdays broadcast.
• 10:45
  SPEAKER_00: Tomorrow we're going to talk about Thursdays, the new residences, new open houses, new builder communities that we always do.
• 10:51
  SPEAKER_00: So we'll be able to get you that information out there and you'll be able to see what's exactly happening in the market.
• 10:58
  SPEAKER_00: Now, there's also something that's happened.
• 11:00
  SPEAKER_00: We have uh Green Valley listed, that was for$5.25.
• 11:03
  SPEAKER_00: It's three-bedroom, two-bath.
• 11:05
  SPEAKER_00: Um, this particular property happens to be something that's out there listed for sale.
• 11:11
  SPEAKER_00: Then we have one in a senior community.
• 11:13
  SPEAKER_00: That was the one on Avenue of the Oaks, priced at$285 in New Hall.
• 11:17
  SPEAKER_00: These are distressed properties.
• 11:20
  SPEAKER_00: The Santa Cruita housing market is definitely showing a competitive edge with homes receiving multiple offers and some selling for over-the-list price.
• 11:28
  SPEAKER_00: We've seen this start to happen again more frequently than it did during the holiday season.
• 11:33
  SPEAKER_00: And I would guess that as we move into the next few months, if interest rates change much at all as far as going lower, we're going to see the market kick off again and we're going to have an even hotter market than we currently do as of February 2024.
• 11:49
  SPEAKER_00: I'm Connor with Honor.
• 11:50
  SPEAKER_00: When you're ready, reach out to me.
• 11:52
  SPEAKER_00: I'd love to help.
• 11:53
  SPEAKER_00: Thank you so much for watching.
• 11:54
  SPEAKER_00: You can find me online at ConnorWithHonor.com.
• 11:57
  SPEAKER_00: If you want to look at the new housing that I talked about on Wednesday, you can go preemptively to ConnorWithHonor.com forward slash new.
• 12:06
  SPEAKER_00: You'll see my website, you'll see a new housing search widget, and we can set you up with going and looking at new housing as well, making that introduction between you and the new home builder representative.
• 12:18
  SPEAKER_00: And if you have something that needs to be sold prior to you being able to purchase or at least contingent within you trying to purchase a new residence, we'll be there and I'll explain that process.
• 12:29
  SPEAKER_00: Some of them will allow us to have a closing at the same time.
• 12:32
  SPEAKER_00: Some of them it might require a m a move for you twice, which is a pain, but the price to pay for some of the new home builders.
• 12:41
  SPEAKER_00: Be well, I'm Connor with honor, over and out.