Monday, November 28, 2011

Many Short Sale properties continue to fail to actually close in New Tampa

Short Sale/Pre-foreclosure properties continue to prove to be hard to actually close/sell.

Our local MLS data* shows that the total number of reported Short Sale properties in New Tampa under contract is once again the highest percentage of the three categories:

64% are identified as Short Sales
7% identified as REO/Foreclosures
29% are "normal" sales

Short Sale contracts wait for sellers' lender(s) approval/rejection:

19% of the Short Sale properties currently under contract in New Tampa have been under contract for six months or longer; 25% have been under contract for 3 to 6 months and 57% for less than 3 months.

Compare those percentages to the following for "Normal" listings in New Tampa under contract which don't require approval by the sellers' lender:  2.5% have been under contract for 6 months or longer; 2.5% for 3-6 months, and 95% for less than 3 months.  So, if you are a buyer and are dead set on purchasing a Short Sale home, prepare to wait!

We continue to see that the percentage of total homes that actually close (sell) and identified as short sales is consistently much lower than those that go under contract.

For example, in the past month the short sale homes that sold in New Tampa represented only 12.5% of the total reported sold; REO's/Foreclosures, 15%; and "Normal" homes sold were 72% of the total.

Finally, currently 68% of the New Tampa single family homes listed for sale in our MLS* are "Normal" sales, 29% are Short Sales, and 3% are REO/Foreclosures.

*MLS information deemed reliable but not guaranteed

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