Everyday I am approached by someone who is looking for a great real estate deal in the Charlotte area. The unfortunate perception is that foreclosures and bank owned properties can be had for pennies on the dollar. Everyone wants that great deal.
Well, maybe because there are so few buyers available for properties out there that it may be the case as to why the difference in actual selling price between a foreclosure and non foreclosed property has diminished.
A recent article I was reading from corelogic was showing the statistics. They were quite enlightening...Eventhough, I have suspected this for awhile. The difference between a comparable home that sold in foreclosure to one that did not sell in foreclosure was.5%. That is right less than one percent.
As home prices have stabilized, and in fact, gained ground recently year over year foreclosures are no longer the great deal they once were. Banks are more conscious of the bottom line and are willing to wait it out now more than ever as they try to recoup as much money as they can. It has made for some tough negotiations.
The banks are not giving homes away just to get them off their books anymore. They would rather sit on the homes and wait it out than take a substantial loss....
All the studies show home prices starting to climb. Nationally home prices saw an increase for the fourth consecitive month in a row. A great sign that the housing market is starting to stabilize.
Banks are aware of this too and are now getting a little tougher on what they will settle for in regards to prices on a home...
Dave diCecco
Realtor/Broker
www.davedicecco.com
The Banks have made some strict rules regarding the credit check before giving away the house. The price of the house have not stabilized yet as the price is constantly going down day by day
ReplyDeleteColonial Heights Va real estate for sale