This week in Stockton – Real Estate related news summaries 9/27/10 – 10/2/10

This week's news is another mixed review of indicators that don't seem to create a great deal of "improvement" comfort for analysts. Absent a strong motivating factor buyers will still sitting on the fence when it comes to making a home buying decision.

Sept 28 - Stockton Record, Zachary Johnson - "Government invests in fix and flip program" - Nine million dollars, approximately, has been earmarked for a San Joaquin County program to fix and flip foreclosures. The Neighborhood Stabilization Program has purchased, rehabbed and resold dozens of homes to lower income homebuyers. City Councilwoman Kathy Miller says, "The mainthing is to get those properties rehabbed and sold and get people living in those neighborhoods." However, Interim Economic Development Director, Gus Duran points out, "The foreclosure problem is so big' ... it's a drop in the bucket." Duran welcomes the funding, but indicated that foreclosed properties need to be absorbed (1700 recently in Stockton alone.)

Sept 28 - Washington, AP -"Banks to share in investment risk" Under new rules adopted by the Federal Deposit Insurance Corp., at least 5 percent of the securities must be held on their books. The idea is that banks .... will be more careful about screening borrowers.

Sept 29 - Washington AP - "Home prices rise, but experts say it's temporary" Analyst say the recent "snapshot" of home prices is temporary. That's because the peak home buying season is now ending after a dismal summer. High unemployment, buyer reluctance and foreclosure inventory all will put downward pressure on prices.

Sept - New York AP - "JP Morgan puts hold on foreclosures" - JP Morgan Chase joins Bank of America and GMAC is temporarily stopping foreclosures while documents are being reviewed to validate legal foreclosure authority. "Still, analysts don't expect the delays to reduce the number of foreclosures in the long run."

Sept 27 - Stockton Record - CLOSED listing real estate transaction for Aug 25-Sep 1 from information compiled from County records: Total sales: 111; Sales identified as Banks or REO-type: 58, with 34 different firms selling (top 3: Federal National Mortgage-11; Wells Fargo-8; Federal Home Loan Mortgage-6 ) New Homes: 2

Side note: 14 of the closings were Private Trust single sale transactions.

Focus on Stockton: Total Closed: 48; REO: 28; New: 0