Comments on: The Chances A Short Sale Will Actually Sell http://www.mytucsonblog.com/home-buying/the-chances-a-short-sale-will-actually-sell/ Everything you need to know about Tucson and Real Estate - and then some Fri, 30 Jul 2010 17:05:44 +0000 http://wordpress.org/?v=2.9.2 hourly 1 By: John Lockwood http://www.mytucsonblog.com/home-buying/the-chances-a-short-sale-will-actually-sell/comment-page-1/#comment-1074 John Lockwood Fri, 16 May 2008 21:39:43 +0000 http://www.mytucsonblog.com/?p=1014#comment-1074 I just got done writing a white paper and article Series on the Short Sale Fake Listing Fiasco. (I've linked to it above). I believe the numbers may actually be lower than you've listed here. How do closed sale numbers compare to non-distressed sales, and how much lower than the non-distressed sales are these properties listed at? In Sacramento County, 39% of active inventory are short sales, compared to 34% for non-distressed sales. Also, compared to non-distressed sales, short sale properties that did sell were discounted an average of 24% (about $81,000) from non-distressed sales. Yet of everything that closed in the last 30 days, 22% were non-distressed compared to only 8% for short sales. So even though short sales are discounted 24%, non-distressed sales outsell them more than 2 to 1. So in my opinion, you can't just look at how many actually close -- you also have to keep in mind how many offers are actually written. I'm sure that lots and lots of buyers are out there failing on these. I just got done writing a white paper and article Series on the Short Sale Fake Listing Fiasco. (I’ve linked to it above).

I believe the numbers may actually be lower than you’ve listed here. How do closed sale numbers compare to non-distressed sales, and how much lower than the non-distressed sales are these properties listed at?

In Sacramento County, 39% of active inventory are short sales, compared to 34% for non-distressed sales. Also, compared to non-distressed sales, short sale properties that did sell were discounted an average of 24% (about $81,000) from non-distressed sales. Yet of everything that closed in the last 30 days, 22% were non-distressed compared to only 8% for short sales. So even though short sales are discounted 24%, non-distressed sales outsell them more than 2 to 1.

So in my opinion, you can’t just look at how many actually close — you also have to keep in mind how many offers are actually written. I’m sure that lots and lots of buyers are out there failing on these.

]]> By: Kelley Koehler http://www.mytucsonblog.com/home-buying/the-chances-a-short-sale-will-actually-sell/comment-page-1/#comment-1052 Kelley Koehler Tue, 06 May 2008 15:30:30 +0000 http://www.mytucsonblog.com/?p=1014#comment-1052 Hi Anne! Very true. If we had better access to the MLS database, we could be much more exact. As it is, I can't determine how many went contingent and didn't close without manually checking hundreds of listings. And even then, I don't know if it fell out because of inspections, a buyer failing to qualify, or the bank not coming to terms with the seller. I would call this a rough estimate. Hi Anne! Very true. If we had better access to the MLS database, we could be much more exact. As it is, I can’t determine how many went contingent and didn’t close without manually checking hundreds of listings. And even then, I don’t know if it fell out because of inspections, a buyer failing to qualify, or the bank not coming to terms with the seller. I would call this a rough estimate.

]]> By: Anne http://www.mytucsonblog.com/home-buying/the-chances-a-short-sale-will-actually-sell/comment-page-1/#comment-1051 Anne Tue, 06 May 2008 12:51:41 +0000 http://www.mytucsonblog.com/?p=1014#comment-1051 HI Kelly, We should look at the ratios for the homes that went under offer that sold because that is the true indicator of how many actually closed. HI Kelly,

We should look at the ratios for the homes that went under offer that sold because that is the true indicator of how many actually closed.

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