Waiting For The Banks: They Have 3,000 Houses For Sale in SoCal...

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Banks and lender are sitting on 3,000 foreclosed houses in Southern California, and they don’t appear in a hurry to sell them -- at least not at fire-sale prices. That’s the bottom line of this LATimes article. Highlights:
--’About 3,000 of the 120,000 homes listed for sale in the five-county Southern California region are owned by lenders, according to ZipRealty. That’s up from fewer than 10 homes a year ago.
--Wells Fargo is managing more than 800 bank-owned homes in Southern Califorina.
--Lenders are treading carefully: if they slash prices, they hurt other homeowners, home sellers, and themselves: ‘We don’t want to flood a community with below-market-priced homes and cause further deterioration,’ says Patrick Carey, who manages foreclosed properties for Wells Fargo.
--It’s early in the game: ‘Like any seller, they have a cost to carry,’ said Mike Ela of HomeSmartReports.com ‘Eventually they will feel the heat of having a nonperforming asset on their books and lower the price.’

Photo Credit: LATimes