Well, as this article mentions it is quite the seller's market. Orange county has been hovering around the 3,200 mark for Active listings. And astoundingly, the number currently in escrow is nearly twice that number.
There is a difference in the percentage of active short sale for Orange County versus the 25% quoted in the article. Orange County active short sales are around 4% of the market. If you include REOs into the mix, Orange County's distressed market is just under 7%
A really great example of the shortage of inventory in the OC is Aliso Viejo with 34 total active listings. Considering Aliso would typically have a couple of hundred active listings that current number is just crazy!