Short Sales & Foreclosures....not as easy as you think!

I found this link to some great info on things for buyers to expect when dealing with short sales & REO properties. Click here to get some valuable info!

LAKE HARTWELL SALES STATISTICS: TIME PERIOD 4/20/2010 - 4/20/2011

*125 total WF Lake Hartwell Homes have sold. of these: 25 were Bank Owned Foreclosures & 3 were Short Sales

*The purchase price on average was 91.1% of the asking price

*If you remove the Bank owned & Short Sales from this equation, The purchase prices were 89.8% of the asking price. The reason for this is that Bank owned properties brought 97.3% of the asking price & Short Sales brought 94.9% of the asking price. This drove up the percentages, but the prices paid have dropped property values ( reduced property values show as list prices on non-foreclosure properties in most cases).

PERCENTAGE VALUES OF SALES PRICE TO ASKING PRICE
0-100,000: 82.7%
100,000-200,000: 85.9%
200,000-300,000: 92.6%
300,000-400,000: 91.5%
400,000-500,000: 90.2%
500,000 & up: 91.3%

*ANCHOR YOUR DREAMS WITH US!*



Commitment*Service*Results

Lake Hartwell WF Sales Stats 4.2010-4.2011

STATISTICS: TIME PERIOD 4/20/2010 - 4/20/2011

*125 total WF Lake Hartwell Homes have sold. of these: 25 were Bank Owned Foreclosures & 3 were Short Sales

*The purchase price on average was 91.1% of the asking price

*If you remove the Bank owned & Short Sales from this equation, The purchase prices were 89.8% of the asking price. The reason for this is that Bank owned properties brought 97.3% of the asking price & Short Sales brought 94.9% of the asking price. This drove up the percentages, but the prices paid have dropped property values ( reduced property values show as list prices on non-foreclosure properties in most cases).

PERCENTAGE VALUES OF SALES PRICE TO ASKING PRICE
0-100,000: 82.7%
100,000-200,000: 85.9%
200,000-300,000: 92.6%
300,000-400,000: 91.5%
400,000-500,000: 90.2%
500,000 & up: 91.3%
* compiled by Gary Smith, Realtor- Parker Quigley & Associates

Foreclosures & short sales....What's the difference?

I am finding that many prospective buyers may not understand the difference between a bank owned foreclosure & a short sale, so I thought I would explain. When a property has gone through the foreclosure process and the bank ends up taking the property back it is almost always at a loss for them (not to mention the thousands of dollars the foreclosure process costs them). The payoff is an important bit of info in "Short Sale" situations because bank will usually accept a certain percentage of what's actually owed on the property (this becomes much more complicated when there is more than one mortgage). The general public doesn't seem to understand the difference in a "foreclosure" & a "short sale". A short sale is a last ditch effort by the homeowner (seller) to avoid a foreclosure by their lender. In a short sale the homeowner will accept an offer with the contingency that the lender will approve their net amount (No proceeds go to the homeowner at all but they come to the closing and sign all docs because they are still technically the property owners). I know that many prospective buyers look at foreclosures and short sales as great opportunities (and they are), but it's very important to hire a professional full-time Realtor as a Buyer Agent (representing & advising you) in order to have the best negotiating skills as well as market knowledge working in your favor. Let me know if I can help you in any way. Thanks!