All three counties saw an increase of properties that are being sold short with Suffolk hitting an all time high.
Bank inventory is still declining in Nassau and Queens counties with only Suffolk county showing a large increase in bank owned inventory.
This chart shows the new bank inventory that came on the market for each month. I feel this chart gives a better representation of how the foreclosure market really looks like. Unlike the “Bank Owned Inventory Chart” which shows the total inventory (which you can see here “Long Island Bank Owned Inventory”), you will see all three counties are hovering at all time lows mostly due to that the fact that bank owned inventory is selling!
These charts show the percentage of sales that are short sales, Bank foreclosures (REO’s) and non distressed sales.
In the past three months Suffolk county is showing the greatest changes in it’s percentages with REO sales increasing and short sales dropping off. I am wondering if the drop off of short sales going to contract has anything to do with the difficulties of negotiating a short sale, I have hearing that more and more buyers are shying away from them for this reason.
I don’t see any real change Nassau, so I will let the chart speak for it’s self.
Queens county also has not see any real change in the past three months.
After seeing short sale inventory decreasing for a couple of months it appears it is on the rise again in all three counties.
Bank owned properties are still at an all time low, what is interesting is Nassau county is seeing an increase where the other counties are flat or declining, something to watch.
Fannie Mae Offers New 3.5% Closing Cost Assistance and Appliance Incentive for Homebuyers 
To encourage the purchase of REO properties, Fannie Mae is offering a new incentive beginning January 28 through April 30, 2010.
Overview of Incentive
During the offer and negotiation of an REO property, buyers will be offered an incentive of up to 3.5% of the final sales price to be used towards one of the following:
No additional selling agent incentives will be combined with this incentive at this time.
Eligibility
To be eligible for the incentive, the:
All of Fannie Mae’s sales channels are eligible for this incentive — retail, auction, bulk, and public entity with or without direct individual buyer.
Financing
Lenders and/or mortgage products may impose restrictions on how a buyer can use the incentive and may
It is nice to see both counties lis pendens filings dropping off in the last quarter of ‘09. In 2008 the 4th quarter also reflects a drop in lis pendens filings; however, that was caused by The law New York Governor Paterson enacted in late spring of last year which delayed the foreclosure process 90 days. Click here to view additional details
The decline in the 4th quarter of ‘09 could be signs of the mortgage defaults slowing down, only time will tell.
Nassau counties bank owned inventory still seems to be be declining; however Suffolk and Queens counties seem to be showing an up swing in inventory. This is most likely caused by an increase of new inventory.
Seems the foreclosure inventory is still declining which is an excellent sign. Many of the experts say this is because of a bottle neck in the legal process and in no way reflects that foreclosures are behind us. Lets hope they are wrong.
I created these charts to show how many of the properties going under contract are bank owned properties or short sales compared to non distressed sales.
It is good to see Long Island bank owned properties (foreclosures) at 12 month lows for Nassau and Queens counties. Suffolk is showing similar signs and is currently at a 6 month low. I would like to see this trend continue.
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Bank Owned Properties |
