Porter Ranch (91326) is the northern part of Northridge (91324, 91325) which is made of the hills of Porter Ranch.  Porter Ranch will likely see more short sales to come particularly in the newer communities like the Renaissance and Portofino since those homes were built and sold during the time of much higher home prices.  As homeowners begin to have more difficulties affording the terms of their loans, they will be faced to look at alternatives to foreclosure like loan modification and short sales.  Understanding how your credit is affected by short sale vs. foreclosure will help you understant why short sale is a reasonable alternative.

 

One of my favorite cities in the San Fernando Valley is Northridge.  I have lived and worked in Northridge for several years.  Most people remember Northridge because of the 1994 Northridge earthquake.  Another attraction is the California State University, Northridge also known as CSUN.  As a graduate of CSUN, I have witnessed the growth over the years which has been a steady boost to the local economy.  The new performing arts center is a beautiful structure which can be seen as you drive past Nordhoff around Lindley. 

 

Home values in Northridge seem to have stabalized in 2012.  My concern is the newer gated communities of Porter Ranch which have larger loans and sales which were based on housing prices of the bad years (partifularly 2005 to 2009).  There are a relativly small amount of bank owned and short sale homes for sale and the inventory seems to be meeting the demand of buyers.  However, many buyers are still on the sidelines or waiting for lower prices.

I had a recent regular or standard sale in Northridge (bottom left) in which the homeowner was able to walk away with some equity.  Despite their being several competing listings in the area, the great condition of the home allowed the seller to complete the transaction successfully.  When homeowners fail to maintain the home which usually occurs during financial hardship, it becomes more difficult to sell the home.  Short sale is an option for homeowners who owe more than the home is worth after transaction costs.  I am currently working on a HAFA short sale for the home pictured on the left.  If successful, the homeowner will receive $3000 in relocation assistance and they are enjoying some other perks like being staying in their home during the lengthy short sale process.