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company says, are particularly valuable for rural properties where the coverage of AVMs may not be as reliable or consistent. "This new evaluation can now provide, in a single report, a decisioning tool for lenders, servicers, and GSEs as they evaluate the pros and cons of executing bulk REO rental sales versus disposition strategies," said Tim Scherf, PCV's COO. "Our Rental BPO also helps servicers weigh the option of hiring a property management company to rent the property until the market value justifies the disposition." PCV Murcor, based in Pomona, California, has been providing collateral valuations to national, regional, and local lenders and servicers, as well as government agencies, insurance companies, and other financial institutions for more than 30 years. The company was founded to meet a growing need for experienced real estate appraisal solutions and consultation services in the mortgage space. Nine Out of 10 'Turnaround Towns' Located West: NAR The West is leading the nation's housing recovery, according to a recent study from the National Association of Realtors' Realtor.com. When identifying the "Top 10 Turnaround Towns" for the third quarter of 2012, the association found nine of the top 10 are located in the West, seven of which are located in California. NAR considered changes in median list price, median age of inventory, size of inventory, and unemployment rate when determining the "Top 10 Turnaround Towns." The "Top Turnaround Town" in the third quarter was Oakland, California, up from the No. 2 spot in the second quarter. This is the first time Oakland has taken the lead. The No. 2, 3, and 4 spots were also taken by California metros: Sacramento, San Jose, and San Francisco, respectively. Seattle-Bellevue-Everett, Washington took the No. 5 spot with a 13 percent yearover-year rise in prices and reductions in inventory and age of inventory. The bottom of the Top 10 list was rounded out by Bakersfield, California; PhoenixMesa, Arizona; Fresno, California; and the one metro outside the Western region— Miami. Miami slipped from the No. 3 spot in the second quarter to the No. 10 spot in the third quarter. 94 Median listing prices in Miami increased 14.57 percent from the third quarter 2011 to the third quarter 2012. At the same time, inventory in Miami dropped 22.37 percent. House flipping is increasing in Miami, contributing to its recovery. The number of houses flipped in the first half of this year is up 25 percent over the first half of last year. The average profit for individual house flipping in Miami is $38,943, according to NAR's research. While foreclosures are falling in most of the "Top 10 Turnaround Towns" identified by Realtor.com, Miami continues to see high foreclosure rates, with one in every 229 homes facing foreclosure in Miami-Dade County in September. As California REO Inventory Depletes, Equity Sales Reach 4-Year Peak While distressed sales continued to languish in California, equity sales, or non-distressed sales, firmed up and reached a four-year high in September, according to a report from the California Association of Realtors (C.A.R). The share of non-distressed sales in September accounted for 63 percent of all sales compared to 62.2 percent in August and 50.8 percent in September 2011, C.A.R. reported. The share of REO sales in September fell to 12.3 percent, down from 14.4 percent in August and 27.5 percent in September 2011. Short sales continued to be a popular alternative to foreclosure and accounted for 24.3 percent of all sales, up from 23 percent in August and 21.5 percent a year ago. "While it's encouraging to see an improvement in equity and short sales from last year, a supply shortage continues to put a cap on sales, as housing inventory remains significantly below the 6- to 7-month supply we see in a balanced market. The REO market, in particular, was most affected by the lack of housing supply as both sales and inventory dropped nearly 60 percent from a year ago," said C.A.R. President LeFrancis Arnold in a release. When combining all distressed sales, the share was 37 percent, down from 37.8 percent in August and 49.2 percent a year ago. REO inventory stayed tight in September, with the Unsold Inventory Index for REOs showing a supply of 2.2 months in September. For short sales, the index was at 3.9 months and for equity sales, the index revealed a supply of 3.8 months. C.A.R.'s Pending Home Sales Index (PHSI) stood at 115.4 in September, down from a revised 119 in August, but up from 114.5 index a year ago. Carrington Inducted into Ellie Mae Hall of Fame for Technology The mortgage lending division of Carrington Mortgage Services, LLC was inducted into the Ellie Mae Hall of Fame for mortgage technology. Carrington was specifically recognized for the "Best Adoption of Automation" in October at Ellie Mae's Encompass EXPERIENCE 2012 National User Summit in Las Vegas, specifically for the company's customization of Ellie Mae's DataTrac mortgage management software. Carrington's modification of Ellie Mae's software led to a paperless system and to the inclusion of numerous business rules to originate compliant loans. By factoring in the company's rules, checks, and processes, Carrington maintained its focus on producing compliant, non-defaulting loans. The customization led to improved turnaround times on retail and wholesale loans, and minimized instances of default and fraud among loans sold to investors. "It is an honor to be recognized by Ellie Mae for our successful customization of their technology and for our drive to continuously improve upon the way we do business," said Carrington (EVP) Ray Brousseau. "With technology playing such an integral role in how the lending industry operates, and because these tools are evolving at such a rapid pace, we are already working on further robust technological enhancements to be unveiled in 2013." Founded in 2007, Carrington Mortgage Services is based in Santa Ana, California, and is licensed to originate loans in 41 states and the District of Columbia. C.A.R. Survey Finds Short Sales Less Frustrating, but Still Difficult The short sale process, while still difficult, is becoming a little less frustrating, according to a Lender Satisfaction Survey conducted by the California Association of Realtors (C.A.R.).

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