Foreclosed Homes 30% Off

July 13, 2010 by  
Filed under Foreclosed Homes 30% Off

Foreclosures, Foreclosures, Foreclosures…

Foreclosures took the cake for the first 3 months of 2010, accounting for nearly 1/3 of all sales.  Many of these foreclosures were selling at a 30% discount.

When we are referring to these  foreclosure sales they include properties sold in short sales or after a bank repossession, known as REOs in industry terms.

REOs are the homes that are already taken back from the borrowers, selling for on average average 34% less than conventional sales while pre-foreclosures averaged only 15% less.

Part of the reason for the bigger price cut for REOs is that many of them come to the market in poor condition, their previous owners either unable to or unwilling to maintain them.

A fascinating statistic is that during 2009, more than 1.2 million property sales involved foreclosures. That grew 25% compared with the year before, and 2,500% from 2005.

Housing Assist Coldwellbanker