In national news: A survey of bank risk managers says that home prices are unlikely to recover before 2020 and mortgage defaults will persist for years. The survey, conducted by the Professional Risk Managers’ International Association for FICO, found that 49% of respondents do not expect housing prices to rise back to 2007 levels for another nine years.

Here is an Orange County Market Update:

The following data is for all residential single family homes and condos in all of Orange County.

• There are 9677 homes that are Actively listed for sale
• Of those, 30% are short sales and 7% are REO or foreclosure properties
• There are 5597 homes in either "Backup or Pending" status
• Of those, 57% are short sales and 10% are REO

SO, IF WE COMBINE HOMES THAT ARE ACTIVE OR IN ESCROW, 40% are short sales and 10% are REO or foreclosures.

Now, what’s selling?

In July, August and September, 6740 homes sold in Orange County. Of those, 24% were short sales and 15% were REOs.

Please note that 40% of homes for sale are short sales, but only 24% of homes that are selling are short sales. This is a very telling statistic that most agents are NOT closing their short sales. If you decide to short sell your home, please make your decision carefully, and with an experienced organization with a track record of proven success

In local news: Local industry leaders are hosting a community outreach seminar series to help Southern California Homeowners that are in distress and having trouble making mortgage payments.

This seminar series is FREE to homeowners, and will cover all aspects of foreclosure prevention education and options will be covered from Mass Joinder lawsuits, to loan modifications, to short sales, to staying put.

The goal of the Seminar series is for Southern California homeowners to walk away VERY knowledgeable and intelligent about their options, so that this community can avoid more foreclosures and begin housing recovery.

The next seminar is January 11th. More details about the speakers and agenda can be found on the website: www.underwaterhome411.org