Lake Forest 2 Homes & Neighborhoods

I have downloaded the lists from several sources of foreclosure data, but I can see many discrepencies that will need more analysis. Some of the properties labeled as “bank owned” were actually purchased by investors. Some of the properties that are scheduled for auction, are in escrow, or have already been sold as short sales, but the records have not yet been updated. And a few are in the middle of loan modifications. It takes some digging to get an accurate picture of what is really going on out there!

The gross data right now shows troubled homes by neighborhood :
Forest Creek – 14
Indian Hills – 5
Lake Forest Keys – 8
Lakeside Park – 7
Lake Park West – 10
Parkwood Estates – 3
Parkwood Estates 2 – 5
Park Place – 2
Prairie Ridge – 4
Ranchwood – 3
Serrano Ridge – 9
Serrano Woods – 3
The Oaks – 4
The Woods – 5

I’ll work over the data and figure out the actual status on each neighborhood tomorrow!

Here are the updates to the rest of the neighborhoods in Lake Forest II Association.

Indian Hills

Parkwood Estates

Parkwood Estates II

Ranchwood

Park Place

Serrano Woods Condos

Lake Park West

Tomorrow, I will be providing the details & status of the foreclosure market in Lake Forest II.

Call me if you have any questions, or need any advice – I’m right in the neighborhood.

Sales in Lake Forest II were pretty slow in 2008, with the majority of them being either short sales, or bank owned.  The following reports are all PDFs and include all sales for each neighborhood in 2008.

The Oaks 2008 Sales

Ranchwood Sales 2008

The Woods Sales 2008

Lakeside Park Sales 2008

Lake Forest Keys Sales 2008

Indian Hills Sales 2008

Forest Creek Sales 2008

Serrano Woods Sales 2008

Lake Park West 2008 Sales

Parkwood Estates Sales 2008

Park Place Sales 2008

Prairie Ridge Sales 2008

Serrano Ridge Sales 2008

There were no closed sales in Parkwood Estates II neighborhood in 2008.

There are only 31 active listings in Lake Forest II neighborhoods as of January 6, 2009 :

Forest Creek – 4 actives

Indian Hills – 2 actives

Lake Park West – 1 active

Lakeside Park – 2 actives

Lake Forest Keys – 10 actives

Parkwood Estates 2 – 1 active

Ranchwood – 2 actives

Serrano Ridge – 1 active

The Oaks – 4 actives

The Woods – 3 actives

There are currently no active listings in Serrano Woods Condos, Parkwood Estates, Park Place, or Prairie Ridge.  (If you have been thinking about selling, there is very little competition right now!) 

I decided to update all the neighborhoods in one post today so you can see all the year-to-date activity for each neighborhood.  I am trying out a new report format, so let me know if you like it or not. 

I like this new report because it includes all the photos for each property, and will update itself if the price or status changes.  A new field called “Special Conditions” is under the property description and will tell you if the property is a short sale, or REO listing.  It also shows the $/square foot price of each property which I think may be valuable to the analytical types.  These links will all expire in 30 days, but I will provide all the new reports before then. 

Serrano Woods Condos

The Oaks

Forest Creek

Indian Hills

Lake Park West

Lakeside Park

Park Place

Parkwood Estates

Parkwood Estates 2

Prairie Ridge

Ranchwood Homes

Serrano Ridge

Lake Forest Keys

The Woods

Several Lake Forest II neighborhoods have had recent real estate activity, but, like the rest of Lake Forest, most of the sales have involved “distressed” properties – either short sales or foreclosed homes.

Even though the national election is behind us, real estate activity is still being slowed by questions of what the economy will do, as well as concerns about the lending environment.  In California, the foreclosures have slowed noticeably, but it’s not clear whether that is because lenders are waiting to see what the $700 billion bailout will offer them, or because of California’s new law that requires lenders to document their attempts to work with borrowers before foreclosing.

It is still extremely frustrating for both buyers and sellers to complete short sales, and many times, the buyers give up and buy another property before getting a final answer.  Also, the lenders are taking so long to reach decisions regarding short sales, that the values are declining below the “approved” price, and the properties no longer appraise for value needed for the buyer’s loan!

There are currently foreclosed homes in almost every neighborhood in Lake Forest II, and the banks are pricing them to attract multiple offers.  Last month, out of 81 homes sold in Lake Forest, 40 of them were foreclosures, and 30 of those sold for over list price, and were on the market an average of only 15 days.  In reality, the 15-day average was inflated by the lender refusing to respond to any offers for the first 7 days, then giving all of those potential buyers another 5 days to re-write their offers with their “highest and best” terms.  I have represented several buyers in this type of “blind auction” bidding.  Since you don’t know how many, or how qualified the other buyers really are, the only way to respond is to think about what value would make you feel satisfied that you “won” without feeling that you were tricked into it.  It’s very difficult!

There are 12 foreclosed homes on the market in Lake Forest II neighborhoods today.  If you have a good imagination and don’t mind spending time, energy and money to update or repair a home to your own taste, one of them may be a good investment for you!  Contact me if you would like further information!

Here are the year-to-date activity reports for several Lake Forest II neighborhoods.  I will be adding the rest of them in the next few days.

Serrano Woods Condos 11-11-08

Forest Creek in Lake Forest YTD 11-11-2008

Park Place YTD 11-11-2008

Lakeside Park YTD 11-11-2008

Parkwood Estates II YTD 11-11-08

After 6 months of no activity in the ParkPlace neighborhood, we finally have a new listing!  Unfortunately, it’s a bank-owned foreclosure that backs in to the corner of Lake Forest and Serrano.  The list price is $549,900 which isn’t too bad for a 2600 square foot home with a pool.  I haven’t looked at it yet, so I don’t know the actual condition inside. 

The history on this home is interesting – it last sold in February 2002 for $401,000 after 55 days on the active market.  At that time, the home had a wood shake roof, which was old enough that its age probably affected the final sale price (lower.)  Here is the photo used on that listing :

Sold 2002

That buyer refinanced the home several times over the next few years, taking out cash each time and spent some of that cash on a new roof, which is mentioned in the details of the listing that was offered last year at $835,000 then later reduced $795,000.  There was no sign on the property, no lockbox, and to view it, you had to make an appointment with the owner, but there was no phone number to call the owner.   Not surprisingly, that listing expired unsold.  The photo below is what showed as the only photo on the MLS for this home that now had a new roof :

Expired 2-28-2008

Today, that same house in on the market as an REO.  Knowing that banks don’t paint or landscape foreclosed homes, I’m now wondering if the last listing agent ever even drove by the home that he had listed for $795,000!  (Actually, since there was no sign or owner phone number, I am wondering if he ever had a valid listing!)  Here is the current photo provided by the bank’s agent: 

Bank owned home - 4 bedrooms + loft + pool: $549,900

Park Place and Parkwood Estates 2 are the smallest neighborhoods (and currently the most stable) in the Lake Forest II community with a combined total of only 176 homes.  So far this year, neither neighborhood has had any real estate activity at all!  There are no active listings, no closings, and none in escrow.  The last activity for either neighborhood was during 2007 and that was only 1 home in Parkwood Estates 2!