CANative
Elite Member
- Joined
- Jun 18, 2003
- Professional Status
- Retired Appraiser
- State
- California
It's getting brutal in some of the communities and cities I work. REO, short sale and foreclosure activity is so signficant that any opinion of market value stretches the definition.
One thought that's been running through my head but is still half-baked is how the REO/short sale/foreclosure seller's unique position influences the market offering and their willings or ability to withstand long periods of typical exposure time can effect other sales prices.
Is there any use in trying to make some attempt at equalizing these types of sales to market sales... perhaps by comparing the outstanding loans amounts or other factors? What about differences in the time required to sell these properties. In one area it might take 6 to 9 months to sell a property. But sales at blow out pricing for REO's have taken less than 40 days.
I don't know. Just grasping at some straws.
One thought that's been running through my head but is still half-baked is how the REO/short sale/foreclosure seller's unique position influences the market offering and their willings or ability to withstand long periods of typical exposure time can effect other sales prices.
Is there any use in trying to make some attempt at equalizing these types of sales to market sales... perhaps by comparing the outstanding loans amounts or other factors? What about differences in the time required to sell these properties. In one area it might take 6 to 9 months to sell a property. But sales at blow out pricing for REO's have taken less than 40 days.
I don't know. Just grasping at some straws.