Zillow reports that 47.4% of all homes sold in September were distressed sales. The breakdown from Zillow shows that 27.3% were short sales and another 20.1% were foreclosures.
Unfortunately, because appraisers use all available recent sales (distressed and otherwise) to determine property value, this negatively affects condo sales as well as single family homes, and causes property values across the board to drop.
If a property is not going to appraise for it’s sales price, there is little reason for it to be priced there.
Real estate experts indicate that foreclosures sell at about 65% of their full value, on average. Short sales sell at about 85% of their full value. So with the increase in the number of distressed properties available, it would not appear that prices will be edging up anytime soon.
If you are looking to buy or sell real estate and would like the help of a Top Miami Realtor, please don’t hesitate to contact either Alexandra orVicki Restivo – anytime. Cellulars: 305- 793-1365 and 305-632-0164.
