Home > Real Estate > First Time Home Buyer Chances in Bakersfield, CA

First Time Home Buyer Chances in Bakersfield, CA

— Photo Courtesy of bakersfieldcahomes.com —

Zillow’s analysis reports that it is a Seller’s market as the housing inventory shrink additionally making it hard for the first time buyers.

“First-time homebuyers are being squeezed out of the market by falling inventory and the rapid influx of investors looking to buy basic homes to rent out to the growing population of people who have recently been foreclosed upon,” said Stan Humphries, Zillow chief economist, in a release Thursday. “Investors are paying in cash and can close sooner, which is more favorable to banks and homeowners looking to sell.”

Sellers may begin to have the upper hand in the market as housing inventory shrinks, leaving first-time homebuyers left to compete with investors, a report from Zillow revealed

In Bakersfield, the  new home buyer has a better chance.  Svenja Gudell, senior economist at Zillow in California’s other metro areas, investors “leave first-time buyers in the dust,” she said.

“It could be they’re not the types of homes people are looking to rent, so investors won’t buy them,” said  Gudell.  She  said that there were a lot of foreclosures because at one point Bakersfield was overbuilt   The foreclosures have resulted in properties that are not in great shape and not as desireable.

In all areas of California  besides Bakersfield, the bottom tier commonly sought by first-time buyers had the greatest drop. The bottom tier is defined as homes costing less than $88,200.

But Scott Tobias, president of the Bakersfield Association of Realtors, said it’s still a struggle for first-time buyers to find a home and beat out investors. On average, it takes about six months for first-time buyers to find a house, he said.

“They get very frustrated,” Tobias said. “They place offer after offer. They’re competing with investors.”

Even though Tobias says that its still hard to find properties he notes that Investors are buying up anything less than $148,050, he said. It’s only once properties hit $200,000 that there’s more inventory available.

Zillow.com
BakersfieldCalifornia.com
DSNews.com
PRNewsWire.com 

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Categories: Real Estate
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