In our local market, Rock County, Wisconsin, Sales in January, 2011 were a handful more than last year.

But, with all the REO's, and Short Sales, are median sales price has dropped from $124,511 in January, 2007 to $65,000 this January.  Long story short, our sales prices are about one-half of what they were four years ago! 

The number of sales this past January are 56% of what they were four years ago.    

Our market is probably one of the worst in the state, due to GM closing a plant, as well as some other loses of employment, but what has really hurt, is the fact that lenders are selling their foreclosed properties at any price just to clear the inventory.  We have sold several properties recently for 25% of what the lender bid them back at in the foreclosure sale.

It has made it almost impossible for a "normal non-distressed seller" to compete.  Hence, they have withdrawn from the market, leaving us with picked over REO's.  Our inventory is actually down because of this.   

It is unlikely this is going to change dramatically any time in the near future!

No Guts, No Glory in our Market!

Jerry Morse, Broker

Janesville, WI 

  

 
This post has been included in Wisconsin Real Estate News Rock County, WI Real Estate News
Post is included in group: Posts to Localism
Post is included in group: Realtors®

4 Comments on What Have the Lenders Done to Us!

FEB
25
2011
385,282 Points 8 Featured Posts Called Shot Master

Jerry, unfortunately, it's up to Wisconsin to lure some new businesses across the state line to fill the void.  Illinois should be an easy mark, but your state has always been big on circuses.  The side show in Madison is stalling some decisions that should be easy, and it is delaying Janesville's recovery.  As individuals, and as real estate professionals, we can do little other than respond to the market.
10:38am • #1
MAR
07
2011
590,806 Points 99 Featured Posts Outside Blog Called Shot Master

GOOD MORNING JERRY!  And I hear he banks intend to just "unleash" a stock of properties they have hoping to sell them for whatever they can!  We all have to get through this one best we can!
8:04am • #2
MAR
10
2011
681,972 Points 52 Featured Posts Localism Sponsor Outside Blog Called Shot Master

Jerry, that is terrible. We have foreclosures but they are priced at market price.
10:19am • #3
APR
19
2011
1,057,134 Points 27 Featured Posts Outside Blog Called Shot Master

I don’t really understand this sentence: “We have sold several properties recently for 25% of what the lender bid them back at in the foreclosure sale.” What is a foreclosure sale?

Out here the lenders simply take the property back from the lendee if the lendee doesn’t pay the mortgage. At that point, the bank simply sells it for whatever the market will bring, but they invariably are at market price. Only short sales are anywhere below market price but many of those are getting multiple offers and wind up at market price anyway.
2:58pm • #4


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Jerry Morse, BBA,GRI

Janesville, WI

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The Morse Company

Address: 1341 N. Wright Road, Janesville, WI, 53546

Office Phone: (608) 754-5300

Cell Phone: (608) 436-6858

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