Wednesday, May 16, 2007

86 The Orange County Housing Market? Better to be patient.

The OC register reported this week that median Lake Forest home sale prices fell 19.5% when comparing YTD April 2007 with April 2006. This Lake Forest statistic of median home prices smashes the Orange County-wide stat of just a .2% price decline for the same period.

Total home sales in Lake Forest, California declined 24.7% in April.

Not a good time to buy. Not a good time to be owing on an asset with an increased likelihood of a future downward trend.

So should you "86" OC housing off your future "to-do" list. Perhaps, but not necessarily long term.

There can be no question anymore that a real estate recession is underway here in Lake Forest. But if more people would just stop what they're naysaying and listen closely to realtors and Mr. Yun of the N.A.R. , then perhaps the Orange County weather might eventually save the day and bring all of those sideline prospective buyers out of the wood work, with their front pockets lined with rainy-day cash, with FICO scores hovering in the stratosphere, and of course, W2's with above-median incomes - all of them patiently waiting to re-enter the candy store of creative California mortage loans to re-open.

Only I'm not too sure that those mortgage candy stores will ever re-open.

Yeah, it looks great, doesn't it? But most can't afford to partake.
So unless you're rich kid, beat it!

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