Abacus Investment Research

Stocks /

Commodities Futures


Managed Futures Commodity Pools

Real Estates

Research and Analysis

Abacus Consulting


Real Estate Markets Apartments For Rent Real Estate Funds Real Estate For Sale Real Estate Agents

China Investment Report - Quality Chinese Stock Picks

China Business Report - Weekly China Business News Summary

Shanghai Bank

China Real Estate
Hong Kong Real Estate
Taiwan Real Estate
Japan Real Estate
South Korea Real Estate
India Real Estate
Indonesia Real Estate
Malaysia Real Estate
Philippines Real Estate
Singapore Real Estate
Thailand Real Estate
Pakistan Real Estate
Vietnam Real Estate
Mauritius Real Estate



United States Real Estate
- Alhambra Real Estate
Canada Real Estate
Mexico Real Estate
Brazil Real Estate
Chile Real Estate
Peru Real Estate
Argentina Real Estate


Britain Real Estate
Germany Real Estate
France Real Estate
Spain Real Estate
Austria Real Estate
Belgium Real Estate
Norway Real Estate
Russia Real Estate
Czech Republic Real Estate
Denmark Real Estate
Finland Real Estate
Hungary Real Estate
Ireland Real Estate
Italy Real Estate
Netherlands Rea Estate
Portugal Real Estate
Sweden Real Estate
Switzerland Real Estate
Turkey Real Estate
Greece Real Estate
Israel Real Estate
Iran Real Estate
South Africa Real Estate
Zimbabwe Real Estate


Alhambra Real Estate
Alhambra Homes For Sale - Investing in Real Estates of Alhambra, CA

Is a Foreclosure Right For You?

By Lee Lieberg

So much of the talk among home buyers these days is about foreclosures. They are known in the industry as Real Estate Owned (REO) or Lender Owned because the Lender has gone through the foreclosure process following a default on the payment. The bank then owns the home and needs to sell it to get it “off the books”.

Five of the 25 homes sold in Alhambra last month were Lender Owned. This represents 20% of the sales. In some Southern California markets, REO’s account for up to 80% of the current sales. The five REO’s in Alhambra sold for $314 per square foot while the other 20 homes sold for $356 per square foot, a discount of 11.8%.

Lender Owned homes are often neglected and require more repairs compared to the average home that is owner occupied and been prepared to sell. REO’s can sit vacant for long periods of time causing problems re-connecting services, dead landscaping and general neglect.

The City of Alhambra has recently purchased several REO’s to refurbish and sell through the First Time Home Buyers Program. Alhambra’s Housing and Urban Development (HUD) funds help young families move into homes.

Vice-mayor Dr. Steve Placido said, “The city takes an abandoned house and creates a home for a young family. The pride of ownership is visibly evident, property values are maintained and all the homeowners of Alhambra benefit”.

It is a buyers benefit to consider REO’s along with other listed properties, yet there are things you should know about the difference of buying an REO versus a standard sale.

Dealing with a Bank can be quite different than dealing with a private party. Banks typically do not give any disclosures, offer no warranties, and do no repairs.

The negotiating process is also different for REO’s. Banks frequently list the property below market value to attract attention quickly. An auction like atmosphere is created where buyers bid against one another.

While Banks often set the price of homes to move quickly, they can be slow to respond. It takes patience to deal with a bank.

Many of the homes I have observed that went into foreclosure were less desirable to begin with, often due to a poor location, floor-plan or condition.

Don’t get caught up thinking that just because it is a foreclosure it is a great deal. If you are disciplined in your search, it is possible to capitalize on the bargains in today’s real estate market.

  # Homes Sold   Median $ # Condos Sold Median $
August 08 25 473,000 11 380,000
August 07 17 586,000 10 425,000
Listed Homes   Condos  
09/15/08 68   42  

*Data was obtained from California MLS Alliance and deemed to be reliable. Lee Lieberg can be contacted at lee.lieberg@dilbeck.com.


Please contact us for advertisement information and other matters.