Friday, June 20, 2008

Figuring out Folsom

Folsom has been relegated to our list of "we would love to live there, but its still too expensive" (Davis, Downtown, Mid Town, East Sac, Arden are also in that bucket).

The strong market there seems at odds with what I am seeing in the data. From the graph below, you can see that there are almost as many NODs as there are MLS listings in Folsom. Part of the story may be that inventory has shrunk compared to last year when it was in the 300s. Sooner or later, something has gotta give.

3 comments:

Husmanen said...

I whole heartedly agree. East Folsom or what I refer to as Folsom Hills is where we concentrate our focus. The REOs are dramatically increasing. We live/rent in Folsom and I have seen homes on our street sell in the last 6 months and then the next one goes lower and find a buyer. Each is currently under water. Good for me bad for them.

There are many advantages to Folsom, but the greatest challenge for us is to find a lot big enough. In that case EDH has the upper hand. Pulling EDH down is PG&E.

Fall 2008 or spring 2009 will be our time, patience will pay off.

alba said...

Folsom has many more older homes than EDH. Probably many more fixed rate loans per 1000 homes. HELOCs and re-fi's will have an impact before we see progress.

Sacramento is a pit. And any area near there, which is on flat land is just not that desirable. Coming from the Bay Area, Folsom was hot 20 years ago, but not since.

Patient Renter said...

Folsom has many more older homes than EDH

maybe, but they're wayyy older :)