Here’s a video of a trustee sale on the court house steps in downtown San Diego (by Richard).
Two comments:
1. There are still plenty of bidders showing up at the steps, but how many are buying? There were 474 trustee sales scheduled today in San Diego County of all property types, all locations – and there were only ten 3rd-party purchases at the court house on Broadway:
| Result | # |
| Postponed | 376 |
| Cancelled | 45 |
| Back-to-Bene | 40 |
| 3rd Party | 13 |
| Total | 474 |
2. Five weeks ago I submitted a $600,000 offer to the listing agent of this property, when it was listed as a short sale for $649,000. The agent refused to submit it to the bank, because he and the sellers thought it was too low (and it sold for 10% less today). If there are any lenders out there watching, this is what’s happening every day.
The association of realtors needs to enact short-sale procedures for realtors, before the banks do it (and cut us out altogether!).
Banks are ‘too big to care’
Maccabee Beer??
For some reason this hits REALLY close to home.
Well they saved 36,000 on commission, didn’t have to to pay the taxes and got their money that day. They also may not have had to deal with cash for keys or an eviction (although it could have been vacant). I’d say it is just easier than accepting a short sale. There are so many short sales messing up comps right now, flippers are actually helping the market by at least fixing up these places and shooting for top dollar. Although this poor lady wanted to live in the home and personally I think the winner will actually be a loser when all is said and done.
Agreed, the servicers may accept 10% under value, but it makes you wonder why the opening bid was $454,980. There are plenty of comps at $600,000 and above.
How about this – the property taxes were paid in full. The new owner is only responsible for the five-weeks-worth due for this July-Dec period.
What was that guy with the Yamaka saying to (and about) that woman? Seems he wasn’t happy with her being there??? What’s his deal?
What’s the address of that property?
The regulars could tell that the woman was new to the bidding scene, they were making comments about her last minute bids once the auctioneer had called “third and final”.
I was there for two hours waiting for the sale I taped and I only saw action on one other property, it was a 2/2, 1035sf, SFR in Escondido, the bidding started at $94K and ended at $173K. My guess on list when it hits the market, $259K.
Back-to-Bene 40
3rd Party 13
The cancelled and postponed ones don’t really count. That means about 1/4 of the houses that are actually going to auction are being bought by 3rd parties.
Great video. I really liked the annotations!
One other offering yesterday was vacant land in Escondido. Opening bid was $50K, but the Auctioneer took the first bid to $2.4M on behalf of the bank, and there was no competion on that one. Back-to-Bene without a fight.
Richard-That’s a bit of an extreme difference between the opening price and the “reserve price”. Why is there even a difference? Why not just start the bidding at the lowest price the bank will accept? So stupid.
Richard,
Thanks for explaining that. It looked like they were upset that a possible owner-occupant was bidding, and they were trying to make her feel unwelcome. I’d love to see owner occupants outbid all the flippers on the courthouse steps. It’s why I love Jim’s idea of helping buyers buy at the auctions.
Good info on the auction. Thanks for sharing with us. 🙂
CA, you’re welcome.
Geotpf: I don’t know the reason for the difference in opening bid and reserve, but the delinquent amount on the land on Escondido was $37.8M. I have included a link from a 2008 NCTimes article on Barratt Homes project associated with the APN on file for the vacant land, but after looking at the tax records it looks like BofA foreclosed on the project in 2008, which means that BofA was the owner as of yesterday and that means that yesterday, BofA foreclosed on themselves, or it was a poor attempt to cut their losses and sell the property to the highest bidder. And that didn’t work either.
http://www.nctimes.com/business/article_cf7c8f3e-61b4-5783-a986-351581d4c8d3.html
Yeah, it seemed that they were trying to intimidate her. She seems like a smart cookie, and she will get her home at a nice price one day.