foreclosures

Lake Tahoe Foreclosures

Foreclosures in Lake Tahoe have become a popular target for buyers investing in South Lake Tahoe real Estate. Foreclosure listings have become popular with buyers because they are usually priced below the current market value.

The term “Foreclosure” is actually the legal process by which the bank or lender uses to sell the property in order to satisfy the loan balance in the event of a default. In California, this process is most commonly a non-judicial foreclosure.

When a homeowner stops making mortgage payments, a Notice of Default is recorded with the County Recorder. The homeowner then has 90 days to cure the default. If the homeowner does not cure the default, a Notice of Trustees Sale is recorded. The Notice of Trustees sale states that the lender or trustee will sell the property at auction in 21 days.

The Trustee Sale Auction is held as a public auction conducted by the lenders representative. The winning bidder must pay with cash in the full amount of the bid. The lender usually bids in the amount of the balance due plus costs. If no one else bids higher than the lender, the property reverts back to the lender. Once the property reverts back to the lender it becomes an REO.

Why buy an REO?

An REO property is an investment gone bad to a lender, so REO’s represent a loss to the lender. Real Estate holding costs are expensive and will add to the lenders loss. In order to get money loosing assets off of the books, lenders will price REO’s ( foreclosure listings) to sell quickly. Most of the foreclosure listings in South Lake Tahoe are priced below the current market value. Many times the foreclosures are priced low enough to attract multiple offers.

Purchasing a foreclosure that is listed on the South Lake Tahoe MLS is similar to purchasing a property from an individual seller. Buyers can finance foreclosures just as they can finance re-sale and new homes. Buyers will also have an inspection period that ranges from 10 to 17 days to to any property inspections that may be necessary. Delinquent tax and utility liens will be cleared by the seller, and buyers are issued a clear title and title insurance.

Most foreclosures are sold in “As Is Condition” which makes a Home Inspection and a Termite Inspection very important. If problems are found in the inspections that are more costly than anticipated, the buyers can back out and the initial deposit will be refunded, less any inspection expenses. REO property owners are exempt from providing a Transfer Disclosure Statement or a Natural Hazard Disclosure. The seller is exempt from these disclosures because in most cases they have never seen the property and know little about it.

Because Bank Owned Listings in South Lake Tahoe are usually priced below the current market value, they can be a great investment opportunity. If you are interested in speaking more about foreclosures in South Lake Tahoe, please feel free to call me at (530) 416-2625!

Foreclosure listings in South Lake Tahoe

2680 Rose $189,900

This new foreclosure listing in South Lake Tahoe is one of the lowest priced single family homes on the market! Located in the Sierra Tract, this 2 bedroom, 1 bath 799 square foot house would be a perfect first home or an economical vacation home.

New carpet, paint and lino
Foreclosure in South Lake Tahoe
Located in the Sierra Tract
799 square feet
Flat 5000 square foot lot

For more information about foreclosures in South Lake Tahoe, the South Lake Tahoe MLS, or real estate in South Lake Tahoe, please contact Brent and Jill Johnson today!

Featured properties may not be listed by the office/agent presenting this brochure.
Info deemed reliable but not guaranteed. DOM may not reflect total days property has been on market
Copyright ©2009 Rapattoni Corporation. All rights reserved.

South Lake Tahoe Real Estate Review for August

Pending home sales in South Lake Tahoe increased 23% increase in August compared with July. In August there was 43 pending home sales reported on the South Lake Tahoe MLS compared to 33 in July.

The statistics for the August pending sales are as follows:

-Average days on market 97

-Minimum price $259,500

-Average price $539,215

-Median price $435,000

-Maximum price $2,300,000

Out of the 43 new escrows six of them are bank owned foreclosures, and eight were reported as short sales. Five of the new escrows are located in the Tahoe Keys bringing the Keys to a total of 7 open Escrows. There is now a total of 64 pending escrows on the South Lake Tahoe MLS.

Sold homes in South Lake Tahoe saw a 15% decrease in August compared to July. There were 33 sold houses reported on the MLS in August compared to 39 sold in July.

The statistics for the August sold houses are as follows:

-Average days on market (including escrow period) 150

-Minimum price $189,000

-Average price $521,597

-Median price $467,500

-Maximum price $1,200,000

There were only three foreclosures that were sold in August on the MLS.

Activity on Condos in South Lake Tahoe remained slow with four condos reported as pending, and four that sold. Two of the sales were in the Tahoe keys.

Lot activity was similar to condo activity. There were four lots that went into escrow, and two that sold in the month of August.

The 23% increase in pending home sales for August shows that home buyers are starting to take advantage of the opportunities in todays buyers market.

Foreclosures In South Lake Tahoe

Here is a Current list of Active Foreclosures on the South Lake Tahoe MLS.

864 San Fransisco Ave. $425,000

2638 Lipan St. $479,900

1980 Mojave St. $244,900

733 Zuni St. $340,000

7872 Tamarack Ave. $189,900

2734 Knox Ave. $250,000

3705 Montreal Rd. $360,000

3514 Blackwood Rd. $452,000

3475 S. Upper Truckee Rd. $349,900 in escrow

2737 Springwood Dr. $385,000 in escrow

2508 Cold Creek Trail $429,900 in escrow

2477 Lupine Trail $462,500 in escrow

2682 William Ave. $199,000 in escrow

2587 Kubel Ave. $249,900 in escrow

1027 Stockton Ave. $254,900 in escrow

2645 Knox Ave. $294,750 in escrow

2255 Inverness Dr., Tahoe Keys $399,000 in escrow

2244 Inverness Dr., Tahoe Keys $409,000 in escrow

2133 Helen Ave. $190,000 in escrow

June South Lake Tahoe Real Estate Review

The stock market saw its worst month since the Great Depression , but the South Lake Tahoe Real Estate market remained steady.

There were 37 new single family escrows opened in June, which was the same as in May. Of the 37 new escrows, 6 were foreclosures. The Tahoe Keys saw two foreclosures that went into escrow quickly, 2255 Inverness and 2244 Inverness. There were 29 single family homes that closed escrow in June, two of which were foreclosures. We have not seen as many foreclosures in South Lake Tahoe compared areas such as Stockton. Home owners are still having to price there homes attractively to get any activity from today’s bargain hunting home buyers.

Lot sales have remained slow with only five new lot escrows and six lot sales. There are some incredible prices on lots right now. 929 Patricia lane is a 7400 sf. flat lot with 2146 feet of coverage for only $69,000!

Condo sales were similar to lot sales with four new escrows and five condo sales. Condos have been hit hard because you can now find a single family home for the price of a condo.

There are going to be some hot buys this summer. The challenge is going to be finding qualified buyers who are willing take advantage of these great opportunities in an unstable economy.

May South Lake Tahoe Real Estate Review

Real Estate in South Lake Tahoe traditionally picks up speed when the weather warms up, and May was no exception. According to the South Lake Tahoe MLS, there were 31 single family home sales in May, up from 20 in April.

Foreclosure sales were down again from 11 in March to 4 in April, and only 2 in May. After talking with a couple of foreclosure listing agents in my office, they both agree that the foreclosure inventory will continue to decrease through the summer. The decrease in foreclosure listings should help the existing inventory get more attention from home buyers.

There were 37 single family houses that went into escrow on the South Lake Tahoe MLS in May. The highest priced house is 9120 South Lane for $9,950,000 in Meeks Bay. There were a couple of houses that were priced very attractively, 3504 Rocky Point(foreclosure) and 649 Seneca (my listing), that I am not surprised went into escrow quickly.

Lots in South Lake Tahoe have remained about the same as last month. There were 4 lots that sold, and 3 that went into escrow in May. There were two lots with allocations that sold for under $100,000!

Condos in South Lake Tahoe saw the most activity in May that they have seen all year. There were 7 closed condo sales, and 6 more that went into escrow.

Over all the South Lake Tahoe Real Estate market is still not what it was in the last few years, but is continuing to show improvements. Could this be the bottom? Only time will tell…