Foreclosures - How Fares Lakewood?

[Bill Call]

Overall, not bad.

Foreclosures for the period November 1, 2005 through May 22, 2009:

Lakewood - 981
Bay Village - 210
Fairview Park - 213
Cleveland Heights - 1,816
North Olmsted - 497
Euclid - 2,156
Rocky River - 228
Brecksville - 123
Parma - 1454

[Jim DeVito]

Not bad at all. Source?

[Bill Call]

Source:

http://neocando.case.edu/cando/index.jsp?page=p

For those of you who visit Zillow keep in mind that the sold statistics are sorted by the 44107 Zip code and NOT city. That means that many of the sales averaged into Lakewoods average values include a substantial number of Cleveland foreclosures and purchases.

This decline in values and increase in foreclosures can actually have a positive longterm affect on Lakewood values. How is that? Well...

In an insanely inflationary housing market that house across the street that was neglected for years and needs extensive updating will still have some increase in value. The owner can sit on it for twenty years, do absolutely nothing and be confident of a substantial gain.

In this market that house has seen a huge decline in value. Let's say a taxable value of $150,000 and a foreclosure resale of $65,000. The previous owner is financially punished for the neglect. The new owner can put in $50,000 and end up with a house that really is worth $150,000. A closer look at individual values shows some decline but not a substantial decline. That decline is slightly higher than some other suburbs but not by a lot. The relative value of a well cared for Lakewood home is stable.

Since most are better constructed than suburban homes built in the 50's and 60's over time Lakewood will still fare better than places like Parma or even Fairview Park. The only caveat is that the State and Federal governments are still investing hundreds of millions of dollars in subisidies for construction outside Cuyahoga County. That is a cause for concern.

[Brian Pedaci]

For those of you who visit Zillow keep in mind that the sold statistics are sorted by the 44107 Zip code and NOT city. That means that many of the sales averaged into Lakewoods average values include a substantial number of Cleveland foreclosures and purchases.

Huh? What part of Cleveland has a 44107 zip?

[Valerie Molinski]

Zillow has been and always will be wildly inaccurate in relation to a property's estimated value. I've seen this first hand. I do not take much stock in it.

[sharon kinsella]

My aunt used to live on W. 114th St. and her zip was 44107.

Apparently the post office doesn't acknowledge the border.