I attended a webinar today given by Realty Trac. I jotted down some very good information that I would like to share in this blog:
- Foreclosure activity may peak in 2011. The levels continue to rise from the past three years. REO inventories will stay at high levels through 2013.
- There is a massive "shadow inventory" that will slow down the housing market recovery. There are about 1.0 REOs and 700,000 are not listed for sale. 1.2 million homes are currently in foreclosure. Over 5 million loans are in some stage of delinquency.
- Distressed Properties are in High Demand.
- 60% of homebuyers are actively looking for foreclosure and bank-owned properties
- 25-30% of all residential home sales in 2010 were foreclosures or bank-owned homes.
- Nationwide, homebuyers saved an average of 30% when purchasing a foreclosure property. Short sales averaged a 19% savings; REO sales averaged over 37% savings.
I am guessing that the reason why banks are slowly releasing their REO inventory is that they would not want to flood the market with foreclosures, thus, bringing the values of comparables even lower. That's smart of the banks, to think of us.
Are you a buyer? You are probably wondering where you can get a copy of this list. I have 2 pages in my website that have these foreclosure list. One is
in the MLS or one is with
RealtyTrac. These are FREE to use. You may also enter the area or zip code and a list of homes will be returned. If you need further assistance, please give me a call.
