From the pish, pish and double pish files: SocketSite is reporting that the San Francisco Land Use and Economic Development Committee is putting forth a resolution to halt foreclosures in the city.
On the agenda for April 2, the resolution “urg(es) City and County officials and departments to protect homeowners from unlawful foreclosures; and (urges) City contractors and all mortgage and banking institutions, especially San Francisco-based Wells Fargo, to suspend activities and related auctions and evictions until State and Federal measures to protect homeowners from unfair and unlawful practices and provisions for principal reductions are in place.”
Ready for my take on it? Here goes.
This is a bunch of silly grandstanding … like San Francisco can make Wells Fargo change their foreclosure policy? That said, as the market rises and the economy improves, we are going to see fewer homeowners in distress – or even upside down on their loans. We are also seeing a number of short sales, perhaps even more than foreclosures. These homes are also aggressively priced to sell and are receiving multiple offers. My associate has a small condo on Guerrero in escrow that was listed for half a mil. He’s received somewhere in the range of 28 offers and apparently sold it for enough to clear the owner’s loan – and then some.
I can’t speak to whether the number of San Francisco residents losing their homes to foreclosure is rising, but I can offer a few personal anecdotes. One of my buyers offered on a home out near Alemany Boulevard. We were told the seller was under financial distress and that he had been in pre-foreclosure. After submitting the offer, we learned that his plumbing business has improved and when push came to shove he was no longer inclined to sell. The home is probably going to go off the market.
I tendered an offer for another client on a bank-owned development opportunity: 2857 22nd Street in the Mission District. It was a single-family home that the previous owner had gutted and abandoned. It was substantially underpriced at $425,000 and received 26 offers. It is under contract for something north of $750,000. I think the loan on the property was $700,000 so the bank is probably going to be able to almost cover their losses – and keep some money in their pockets.
Want to take advantage of the market? Call or email me and I’ll make sure you get the best deal possible.
Dreaming of San Francisco? Cece Blase offers local advice to San Francisco buyers, sellers and owners– and feeds the dreams of those who wish they could live in Tony Bennett’s ‘City by the Bay.’ Call 415-577-0809 or email firstname.lastname@example.org. www.ceceblase.com