The "Deep" South

San Clemente is the last outpost in South County before you hit Pendleton and the San Diego border, so we wanted to give you a quick overview of the foreclosure situation. Notices of default and notices of trustee sales in San Clemente have been steadily on the rise since hitting a low in September.

Today's property is one of those at risk at going back to the bank...


209 Calle Salida, 92672
Asking price: $700,000
Asking price/ sq ft: $298
Purchase price: $1,050,000
Purchase date: 10/28/05
Size: 4 beds, 3.5 baths, 2,347 sq ft (built in 1976)
MLS: S558172 (121 days on Redfin)
HOA dues: $64
Type: Single Family Residence
Stories: 1 Lot size: 7,130 Sq. Ft.
From listing: Cul-De-Sac Single Level Home On A Large Lot Located Next To The Park. Open & Spacious Floor Plane 2 Master Bedrooms. The Master Suite With Vaulted Ceiling & Direct Access to Large Backyard And Golf Cours. Kitchen With Nook & Separate Dining Area. Living Room With Hardwood Flooring. Most of Rooms With Ceiling Fans. Kitchen With Access To Patio

So we're at about the four-month mark on the MLS. Not really much of a sense of urgency to get this property sold. And why would there be? It's a short sale that probably is next to impossible to actually complete.

The current owner financed 90% of the purchase price and put down the remaining $105,000 to buy the property at the peak. Then, less than a year later, she pulled out $25,000 by refinancing into a $970,000 loan that has since gone into default.

Assuming the property can actually be sold for the asking price (good luck), it would be a loss of $392,000, assuming 6% sales costs. Of course, we know the lender would be on the hook for almost all of it.