What Percent Of Home Sales Are Foreclosures
Foreclosed homes accounted for 31% of all residential sales in the first quarter. What does this do to home values? The average price of properties sold in foreclosure was 27% BELOW the average price of properties not in foreclosure, Realty Trac.
This ways down the market. A lot of the price decline has been because of distressed sales. When comparing a home to determine market value…are foreclosures, short sales and REO properties used. Yes, unfortunately because they account for such a large part of the home sales they are used as comparables. Adjustments are made in the case of condition and other factors/variables.
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