The Alison Viejo housing market, found in the midst of the larger Orange County real estate market, saw some slight signs of improvement despite largely negative news in the area. The number of defaulted mortgages increased in the most recent tracking period despite a fall in foreclosures and a decline in sales revenue. According to an August 17, 2010 report from the Orange County Register, “Lenders seized fewer homes in July for a third straight month, repossessing nearly 10% fewer homes than in June. Meanwhile, default notices filed against homeowners who have missed three or more house payments increased 9% last month from June’s levels. Both numbers, however, were down significantly from a year ago, apparently as lenders either seek alternative means to deal with unpaid mortgages or postpone their losses…Lenders seized 629 Orange County homes in July. While that would have seemed like an unusually high number during the slump of the mid-1990s (which peaked at just under 700 foreclosures in one month), it actually was down 22% from the total number of families losing their homes in July 2009. Since the housing slump began in the fall of 2005, O.C. foreclosures have gotten almost as high as 1,450 in one month. Foreclosures have been relatively stable in O.C. for the past 21 months, ranging from 482 homes seized in April 2009 to 835 in January 2009. The county has averaged 701 foreclosures a month since November 2008.”


The amount of private and tax revenue generated from the sale of Alison Viejo homes for sale faced a dramatic fall recently, possibly as a result of the expiration of the federal housing tax credit. According to an August 19, 2010 article from the Orange County Register, “Sales dollars for Orange County properties fell by about $200 million in July from the two preceding months, the product of an abrupt market slowdown caused by the expiration of federal tax credits. According to the Southern California Multiple Listing Service…Broker managed home sales generated just over $1.3 billion in July. That’s the smallest revenue total for a July in figures dating back to 2005. In the first half of 2010, O.C. sales revenues increased by 18 percent or more from the year before. By comparison, July revenues were down 5.6 percent. July’s sales generated $80 million less than in the same month last year – and about $200 million less than May’s and June’s totals.”