An ongoing flood of mortgage defaults and foreclosures is dramatically changing the home sale landscape in the U.S. According to preliminary results from a new nationwide survey of housing conditions sponsored by Inside Mortgage Finance, nearly two-thirds of all home sale transactions now involve some sort of distressed properties. This is way up from the just over 50 percent level found just four months ago.
The new research, based on a survey of more than 1,500 real estate agents conducted by Campbell Surveys, found that nearly half of the current home sale market involved real estate owned (REO). Of the REO being sold, more than half now consist of damaged homes in need of repair. The study also found that only about 14 percent of current home sales involve so-called short sales. This was actually down from a 19 percent level found earlier this year. For further information on the new study, contact John Campbell at (202) 363-2069 or john@campbellsurveys.com.
