Like a fart in a sleeping bag, Mr. Mortgage's August report will bring tears to your eyes. I just don't know if they are tears of joy or tears of sadness. If you think things are getting better you may want to read the full report on his website. It's another great dose of reality from Mr Mortgage. Here's the key points from his August report.
In the month of August, the key stats are (for California):
* 37,988 Total Sales; down 3.9% from Julys June’s 39,507 and the slowest August for organic sales since DataQuick began reporting in 1988.
* 46.9% of Total Sales (17,816) were Foreclosure Resales; up 2.1% from last month and 1100% from two years ago.
* 21,172 ‘Organic Sales’ (Total Sales less Foreclosure Resales). This is down 1640 homes from July.
* $301k median price; down 5.3% in a single month and a whopping 37.9% from last summer. As expected long ago, prices are gravitating towards the most readily available financing: Agency <$417 conforming.
* 43,205 new Notice-of-Defaults, which will result in 34,500 new foreclosures 4-5 months from now.
* 213,500 new Notice-of-Defaults in past 5-months= 171,000 new REO from 4-6 months out as they move through the system.
* 25,309 homes went back to the bank as REO totaling $10.65 Billion…second highest of all time.
* Only 12,679 units left inventory (Total Sales less New Bank REO)