Deals are still out there on REO homes for sale in Rancho Santa Margarita - but you have to look hard and act quickly!   There are only 3 REOs for sale in Rancho today – and one of those is really not in the city of Rancho Santa Margarita, it’s in the adjacent neighborhood Las Flores – that’s the one in the video. 3 bedrooms, all upstairs, and upstairs laundry – it’s a detached condo with almost 1500 sq ft and an awsesome yard. Listed at $450K with incentives up to 3% to you, the potential buyer, for closing by June 30, 2010 – SWEET! 

The other two REO homes on the market in Rancho are both detached single family – one near Tijeras Creek Golf Course in Villavante – almost 2000 sq ft built in 1994 – 3 bd, 2.5 baths 2 car attached garage all bedrooms and laundry room upstairs and close to the best schools CAPO USD still has money to run. (Inside joke – they are great schools!) 

The other fab REO in Rancho today is in the Arroyo Vista tract – about 1800 sq ft 3 bd 2.5 bath with awesome views and built in BBQ in the back yard.  But you’re gonna have to run to grab any of these – watch this to see what you need to do!

Or just give us a call – 949-678-3373 or 949-584-5221 and we can get your offer in as fast as you can open your email.

Rancho Santa Margarita REO Homes for Sale – Market Update is a post from: Orange County Real Estate-Orange County Homes For Sale

REOs Prevail in Rancho Santa Margarita

REO properties dominate the Real Estate market in the Orange County city of Rancho Santa Margarita.  Since the beginning of 2009, REO homes sales account for 41% of the homes sold in Rancho.  Short sales account for 26% of the homes for sale in RSM that sold in the same time period.  Regular, traditional or what we call “non-distressed” sellers make up 33% of the successfully completed residential Real Estate transactions in this desirable South Orange County community.

The main reason why REO homes on the market in Rancho Santa Margarita sell faster and closer to the list price is because of the business like aspect of an REO listing.  With a huge increase in the number of foreclosures in today’s rough economy, the banks have designed a systematic approach to listing and selling these “assets.”  Their business practice is putting pressure on traditional sellers is the bottom line.  Click here for insider scoop on how the REO process works from the bank’s perspective.  There is a huge difference between the pricing decision of the bank and a traditional seller.  And it has huge consequences on how the market reacts.

REO Reality in Rancho Santa Margarita

To show you how this difference plays out in today’s Rancho Santa Margarita Real Estate market – let’s look at two recent sales.  First, there’s the story of a traditional seller, not a short sale or an REO, and their home that recently sold in Rancho Santa Margarita.  This 2100 square foot 4 bedroom 3 bath with a 3 car garage and a large grassy yard was originally listed at $639,000.00 in July of 2007.  Then they dropped the price to $599,000 at the end of August.  Still no sale, so they dropped the price again to $559,000 in mid-November – a Thanksgiving special!  Still no sale, so they finally dropped the price to $524,900.00 and accepted an offer at $525,000.00 two weeks later.  So after 164 days on the market, they got their home sold for 82% of the original list price.

Compare that to this a bank owned a 1700 square foot 4 bedroom 3 bath home with a 2 car garage and a smaller grassy yard.  Listed on New Year’s day at $389,000.00.  Received at least multiple offers (I know this because my clients were one of those) accepted an all cash offer of $400,000 and opened escrow on January 6 and closed 6 days later on January 12.

It is a great time to be a home buyer in Rancho Santa Margarita, CA these days.  Huge savings are waiting for you -  just make sure you know what you are getting in to when you agree to buy an REO home for sale in Rancho Santa Margarita.  And once you decide to go for it – do a thorough home inspection with a reputable company, do a mold inspection, ask for a CLUE report when you apply for Home Owners Insurance and do this as soon as possible.  Then you can be confident in your decision to buy an REO home for sale in Rancho Santa Margarita.

REO Homes Dominate The Rancho Santa Margarita Real Estate Market is a post from: Orange County Real Estate-Orange County Homes For Sale

So what’s up with Bank Owned homes for sale in Orange County, California?  Why are they the fastest moving homes for sale in the Orange County Real Estate market today?

Bank Owned Homes in Orange County are Moving

They are priced right, for one thing.  The banks who control the release of the foreclosed homes in to the local markets like Rancho Santa Margarita Real Estate hold the listing agents to very business-like standards.  There is absolutely no emotion involved.  The agents are expected to be thorough, diligent, and realistic when they submit their Broker Price Opinion (commonly referred to as a BPO) to the REO Asset Manager who approves the list price for the home, and also reviews and decides on the offers submitted.  This is a much different scenario than a listing agent sitting with a traditional seller at the kitchen table, surrounded by their family, their memories, and their hopes and dreams for the future, reviewing comparable sales in their neighborhood and trying to agree on a price that feels like the right thing to do.  The struggle between “what my home was worth 3 years ago” and what it will sell for in today’s market it a hard pill to swallow for most sellers.  With the REO listings, it is all business.  When the bank releases an asset into the retail market, they want it sold quickly.  They want to get the most money in the least amount of time.  The asset managers are actually compensated for how quickly they sell their inventory.  And the listing agents are held accountable to the BPO – the banks actually keep a score sheet on each agent and the most critical factor in the agent’s score is the final sales price compared to the BPO.  Agents who miss the mark on price too frequently will stop receiving assets.   Meaning they will go out of business.  Traditional sellers tendto focus on the list price of their home, and often underestimate the danger of over-pricing their home.

The Downside With Foreclosures

However, the advantage that traditional home sellers have over REOs homes on the market for sale is that there are potential pitfalls with REOs.  There is no seller in the picture who can give you the history on the home – what’s gone wrong, what’s leaked, what’s broken, what’s been repaired.  Many REOs now have been vacant for months and only God knows what’s happened in that time.  I’ve seen (and smelled) mold in many REOs and have had two buyers back out on foreclosed properties after completing a home and mold inspection due to the detection of mold in multiple sites.

So whether you are buying a home in Orange County today, or selling your Orange County home, it is imperative that you realize the impact REOs are having on today’s real estate market.

REO Homes – The Insider Scoop is a post from: Orange County Real Estate-Orange County Homes For Sale

Rancho Santa Margarita REO Homes for Sale

Out of 203 Rancho Santa Margarita homes for sale today, 30 are REOs, 98 are Short Sales or in Foreclosure and 97 appear to be equity owners.

Recent Rancho Santa Margarita REO Homes for Sale

In the last week, there were 7 new REO listings – including this 3 bedroom 2 bath single level detached home with a 2 car garage and about 2100 square feet:

And this 2 bedroom 2 bath condo in Los Flores for $165K

Short Sale Homes for Sale in Rancho Santa Margarita

Last week, there were 3 new Short Sale homes listed for sale in Rancho Santa Margarita:

A 2 bedroom 1 bath condo in Los Flores 2 for $179K – no photos of that one to share yet.

A 2 bedroom 2 bath in Los Portrillos with 1000 square feet offered at $268K – photos below

And a 4 Bed + Bonus room which is every homeowner’s dream! 2100 sqft home has Granite counters, Porcelain tile & more! Large master w/ walk-in closet, separate tub/shower! Upgraded vanity in bathroom! Located in the sought after California Tesoro Tract near award winning schools, parks, pools & the Toll Road. Low tax rate low association dues!  Offered at $499K.

Non-Distressed Homes for Sale in Rancho Santa Margarita

New on the Real Estate market in Rancho Santa Margarita this week and NOT distressed (from what we can determine) are the following top picks:

This 4 bedroom 3 bath 2500 square foot home with a pool and a 3 car garage:

And this 1 bedroom 1 bath condo in Belflora offered at $170K:

It is a great time to buy Orange County real estate.  To search for all homes for sale in Rancho Santa Margarita click here. 

Rancho Santa Margarita Homes for Sale – Market Update is a post from: Orange County Real Estate-Orange County Homes For Sale

Bank Owned Homes for Sale in Rancho Santa Margarita

As of today, there are 29 Bank Owned homes for sale in Rancho Santa Margarita – 10 single family detached homes and 19 condos.  Remember, Bank Owned or Real Estate Owned (REO) means that the seller has been foreclosed upon by their mortgage holder and the bank now owns the home since their borrower could not continue to make their mortgage payment.  You will get a very quick response from the bank on these properties, and will be asked to close escrow very quickly – usually in 20 days.  Be careful and make sure you have your loan lined up (unless you are able to pay cash) – the banks usually apply a penalty charge of at least $100 per day for every day the close is delayed at the fault of the buyer.

Rancho Santa Margarita Bank Owned Condos for Sale

There are 26 Bank Owned condos for sale in Rancho Santa Margarita – the lowest price is $174,000 for a 1 bedroom  1 bath home with 882 square feet,  no garage.

There are also several 3 bedroom 3 bath on the market in Rancho Santa Margarita – ranging in price from $324,900 to $449,000 – quite a bit of difference in the pricing.  Just make sure you are aware of the condition of the property when you decide to buy one of these Bank Owned deals.

REO Single Family Homes in Rancho Santa Margarita

There is a single story Bank Owned house for sale in Rancho – it has 2 bedrooms,  2 bathrooms, is 1211 square feet with a 2 car for $439,000  Buy this one for yourself to retire in - can you imagine what single story homes are going to be worth in 10 years as the Baby Boomers continue to retire?

You might also want to check out this 3 bedroom 3 bath Bank Owned home for sale with 1904 square feet and a 2 car atatched garage for $534,000.  On a corner lot – could be a great deal.

Be careful with Bank Owned homes – while I’ve spent a great deal of time on the potential for a great deal, you have got to know what you are getting in to in these purchases.  Always have a home inspection, and if you can, have a mold inspection done as well.  Sometimes these homes have been vacant for months, and were not well taken care of before that point.  Learn more about mold, and how to detect it. And the value of a home inspection.

Short Sale Homes for Sale in Rancho Santa Margarita

There are 92 homes for sale in Rancho Santa Margarita that are Short Sale listings ranging from $162,900 to $749,000.  Twenty-four are single family detached homes and the rest are condos or attached homes.

Short Sale Condos for Sale in Rancho Santa Margarita

The lowest priced property in all of Rancho is a Short Sale listing at $162,900 – a 1 bedroom 1 bath condo in the Los Flores condos near RSM Intermediate School with no garage, but inside laundry and a carport.

Buy this one for a rental and have your foot in the market for your kids’ college condo as the market comes back.  You can always work a 1031 Tax Deferred Exchange to get them closer to campus!

Short Sale Single Family Homes for Sale in Rancho Santa Margarita

On the flip side, how about this 3143 sq ft 4 bedroom 3 bath 3 car garage with lush tropical yard and soaring ceilings for $749,000?  Well, here’s the story on this one – it’s been on the market for over a year, started out at $880,000, bank approved Short Sale at $740,000.  What does “bank approved Short Sale” mean, you ask?  It means that you will get an acceptance of your offer of only offer on the table.)

Buying a Home in Rancho Santa Margarita – Some Great Deals is a post from: Orange County Real Estate-Orange County Homes For Sale