Home Foreclosures And Short Sales Slipped To 28% Of Sales In October

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An ongoing positive trend is a steady decline in the number of homes on the market. Total housing inventory at the end of October fell 2.2% to 3.33 million existing homes available for sale, which represents an eight month supply at the current sales pace, down from an 8.3 month supply in September. Inventories have been trending gradually down since setting a record of 4.58 million in July 2008.

The national median existing home price for all housing types was $162,500 in October, which is 4.7% below October 2010. Distressed homes, that is foreclosures and short sales typically sold at deep discounts, slipped to 28% of sales in October from 30% in September and 34% a year ago.

In some areas there are shortages of home foreclosure inventory in the discounted ranges with multiple bidding on the more desirable properties. Real estate professionals in these areas are calling for a faster process of getting home foreclosure inventory into the market because they have ready buyers. Additionally, offering credit to responsible investors would help to absorb inventory at an even faster pace, which would go a long way toward restoring market balance.

All cash sales accounted for 29% of purchases in October, little changed from 30% in September and 29% in October 2010 with investors making up the bulk of cash transactions. Investors purchased 18% of homes in October, compared with 19% in September and 19% in October 2010. First time buyers accounted for 34% of transactions in October, up from 32% in September and 32% in October 2010.

The median existing single family home price was $161,600 in October, which is 5.8% below October 2010 while the median existing condo price was $160,300 in October, down 1.5% from a year ago. Regionally, existing home sales in the Northeast fell 5.1% to an annual level of 750,000 in October but are 1.4% above October 2010. The median price in the Northeast was $224,400, down 5.5% from a year ago.

Existing home sales in the West rose 4.4% to an annual pace of 1.19 million in October and are 15.5% higher than October 2010. The median price in the West was $207,500, which is 1.6% below a year ago.

This article has been shared by Unity Movers. You can find Unity Movers by searching for Raleigh Movers or Movers Raleigh.

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