For those looking for foreclosure bargains in the Los Osos and Morro Bay areas, you may be surprised to hear that the actual number of REOs (bank owned homes) in those cities has remained relatively low. Foreclosures tend to force the rest of the market down, and areas with fewer foreclosures have seen slower and more conservative price recessions than areas that were overloaded by foreclosures. Morro Bay and Los Osos have not had the foreclosure inventory that the beach communities in southern San Luis Obispo county have seen. Thus, well priced foreclosures, especially those priced under $400,000 are heavily sought after. Buyers should be prepared to compete as many buyers, especially those from the hotter inland areas in California have decided that this is a great opportunity to pick up a beach property to beat the heat in the summer months.
Currently, there are 4 active REOs in Los Osos (out of 98 active single family listings), and 6 in Morro Bay (out of 110 total single family listings). Four of the foreclosures in Morro Bay are listed for over $700,000. Since the beginning of the year, 11 bank owned homes have sold in the Los Osos area, with a median selling price of $360,000, 6 REOs have sold in Morro Bay, with a median selling price of $334,000. The number of active (and contingent) short sales is also relatively, 13 in Los Osos, and only 6 in Morro Bay. The median asking price of the listed short sales in Morro Bay is around $600,000. Well priced REOs under $400,000, are receiving multiple bids and bids over asking price; potential buyers should be prepared for that reality — properties are not “dirt cheap” and there is plenty of competition in the under $400,000 market.
The best way to shop for foreclosures is to receive email alerts immediately when a property hits the market. If you would like to receive REO and short sale property alerts for the Morro Bay and Los Osos areas, send me an email request at email@example.com. You can also search for property on my websites: www.iLovethCentralCoast.com or , www.CentralCoastRealEstateSearch.com. Or, if you would like to consult about the possible short sale of your property, I can be reached at (805) 878-9879.