Thursday, July 30, 2009

Distressed Properties Make Up 15 Percent of Alameda Sales

So you want to buy a distressed property in Alameda? Here is what you should expect if dive into the world of foreclosed and short sale homes: little to choose from and to pay 99 percent of list price.

Unlike other areas of the Bay Area, for example across the bridge in Oakland’s 94606 and 94601 that has over 75 percent of it sales in distressed property category, Alameda has seen just15 percent of its sales in the distressed category since January 1, 2008.

Sales of distressed property really did not hit the Island until June of last year. Alameda saw just one short sale from January to June. The pace then picked up significantly for the volume of sales in Alameda. We saw two months in April and June of this year where distressed sales reached 11 for the month, highs for the 19-month period.

The biggest bargain, in terms of list price to sale price, was a multi family foreclosed home on Minturn that sold for $241,000, 63 percent less than the list price. The lowest price sale was a condo at the Park Webster, the unit sold for $144,500 back in December.

On the opposite side of that coin was a one bedroom, one bathroom home on Clinton sold for 145 percent of list price. The 888 square foot home sold in November. The highest price foreclosure was located at Bayport. The four bedroom Mosley home sold for $860,000 above the list price of $849,900.

The largest group of foreclosed homes during the period was in the $400,000 range. Twenty properties sold in that price band making up 20 percent of the sales. The $500,000 range was another hard hit band with 15 foreclosed sales.

Foreclosures made up 66 of the 102 distressed sales.

The current 13 foreclosed homes that are listed for sale on the MLS, 10 are homes and three are condos. The properties range from $224,900 to $790,000. The Island has another 13 homes listed as short sales.

So if you are looking, expect to find very little and still pay Alameda prices.

1 comment:

  1. Every investment has risks and drawbacks. The important thing is to recognize them, to be aware of what can happen to your investments, and to make sure you aren't exposed to risks you can't afford.