Neighborhoods in two California cities, Fresno and Los Angeles, were among the most popular search destinations for for-sale foreclosure properties during the month of September, reported online real estate company Zillow.
Zillow reported that foreclosure-related homes in Fresno’s Bullard neighborhood were more frequently searched than foreclosures in any other U.S. neighborhood tracked by Zillow during that month.
Zillow has created a database of thousands of neighborhood boundaries for the largest U.S. cities.
Neighborhoods in foreclosure-ridden cities dominate the list. Zillow foreclosure data is supplied by Foreclosure.com and includes foreclosed bank-owned properties (also known as REOs) as well as preforeclosure properties that have entered the foreclosure process.
Bullard was one of three Fresno neighborhoods on the list. There were also two neighborhoods each in the Los Angeles, Las Vegas and Phoenix areas. All four areas had some of the highest foreclosure rates in the nation during the third quarter, according to foreclosure data site RealtyTrac.
Six out of the 10 neighborhoods on the list had index values higher than the city’s overall index value, possibly indicating that visitors to Zillow may have been looking for deals in these cities’ higher-end neighborhoods.
Summerlin North in Las Vegas showed the biggest value difference between a neighborhood and a city as a whole. While Las Vegas’ overall index value stood at $111,200 in August, Summerlin North had an index value of $171,800 — a value difference of nearly 55 percent.
At the other end of the spectrum, while Fresno’s overall index value stood at $125,200 in August, the city’s Roosevelt neighborhood had an index value of $85,100 that month — or 32 percent lower than the city as a whole.
Methodology: For this report, Zillow identified neighborhoods with the highest volume of foreclosure-related home searches on Zillow.com during the month of September.
Zillow queried 11,005 neighborhoods in its database, measuring page views and number of properties. The neighborhoods with the most foreclosure searches were measured by looking at how many page views each property in a given neighborhood received, rather than just the total number of foreclosure properties in that neighborhood.
Zillow also examined the number of foreclosure properties to ensure a statistically significant sample — the query included neighborhoods with 15 or more foreclosure properties.
For example, a neighborhood with 500 foreclosure properties with 10 page views each is considered less "hot" than a neighborhood with 100 foreclosure properties with 50 page views each, for the purposes of this report. This better tracks neighborhoods with high demand, rather than just a high number of foreclosure homes.
The charts in this report compare Zillow’s home-value index for each neighborhood area to the index value for the entire city area.
Zillow’s Zestimate home valuations are the basis for the Zillow Home Value Index. A Zestimate is Zillow’s estimate of the current market value for a home. The Zillow Home Value Index is the median Zestimate valuation for a given geographic area on a given day. Zillow generates valuations several times a week on more than 70 million homes, or roughly three out of four homes in the U.S., and calculates historical values dating back to 1997. –Source: Zillow.
The full list of top 10 neighborhoods:
1. Bullard (Fresno, Calif.)
2. Sylmar (Los Angeles)
3. Sherman Oaks (Los Angeles)
4. Roosevelt (Fresno, Calif.)
5. North Scottsdale (Scottsdale, Ariz.)
6. McLane (Fresno, Calif.)
7. Summerlin North (Las Vegas)
8. Enterprise (Las Vegas)
9. Camelback (Phoenix)
10. South Side (Corpus Christi, Texas)
City area: Fresno, Calif.
|August 2011 Zillow Home Value Index (Bullard)||$173,900|
|August 2011 ZHVI (Fresno)||$125,200|
|Value difference of neighborhood (by percent)||+38.9%|
|Value difference (in dollars)||$48,700|
Fresno sign. Flickr/Great Valley Center.