Updated April 2013:
In the U.S., the state, the Bay Area and San Francisco itself, a definitive trend is occurring: foreclosures are declining rapidly, which is leading to a decline in the number of bank-owned property sales, and with the big home-value increase that is taking place, the number of short sales is declining too. As the economy improves and the housing recovery continues, homeowner financial circumstances improve, home equity increases and distressed property listings and sales will continue to rapidly diminish — and right now, in San Francisco itself, they look to disappear altogether in 2013. As this occurs, the negative effect of distressed home sales on general home values — a huge negative factor over the past 4 years — disappears as well. It becomes a virtuous circle, strengthening the housing market.
If you adjust your screenview to Zoom 125%, the charts will be that much more legible.
Since the distressed home crisis began 4-5 years ago, the first quarter of the year has been that quarter with the highest percentage of distressed home sales. This has to do with the holiday sales dynamic of many sellers pulling their properties off the market until the new year, while distressed home sellers do not. In this chart below, one can see the precipitous decline as a percentage of sales, which is expected to continue.
Foreclosures — the forerunner of bank-owned property distressed sales — are rapidly declining throughout the state. San Francisco was never among the hardest hit of counties because of the affluence factor, and now foreclosures are dwindling away to neglible numbers.
These charts come from foreclosureradar.com regarding foreclosure activity and trends in San Francisco and California.
06075 – San Francisco Foreclosure Filings
