With rising home values and fewer foreclosures, the share of distressed sales to existing home sales continued to decline, according to data from the September 2014 REALTORS® Confidence Index Survey:  http://www.realtor.org/reports/realtors-confidence-index

In September 2014, distressed sales accounted for 10 percent of sales:  7 percent of reported sales were foreclosed properties, and about 3 percent were short sales[1]. The decline of  distressed properties on the market explains to some degree why investment sales and all-cash sales have been on the decline.

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Distressed property sold at a 14 percent average discount  for the past 12 months.  Properties in  “above average” condition were discounted by an average of 10-12 percent, while properties in “below average” condition were discounted at an average of 14-20 percent.


 

[1]               The survey asks respondents to report on the characteristics of the most recent sale for the month.

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