Some of the most valuable assets for agents assisting distressed homeowners are statistics … and industry players have released a ton of them lately. Following is a breakdown of some of the major, recent reports on the real estate industry:
CoreLogic’s August 2010 Short Sale Research Study:
- Short sales have more than tripled since 2008, and multiple indications point to short sales continuing as a significant factor in the industry.
- Investors involved in short sales are good! They provide the industry with necessary liquidity.
- 1.9% of short sales studied were part of an egregious flip.
The National Association of REALTORS® (NAR) existing home sales data though July 2010:
- Existing-home sales (single-family, townhomes, condominiums and co-ops) dropped 27.2 percent.
- Seasonally adjusted annualized rate of existing-home sales dropped to 3.83 million (down from 5.26 million) – the weakest showing in 15 years.
- Single-family sales are at their lowest levels since May 1995.
The Mortgage Bankers Association’s Second Quarter 2010 National Delinquency Survey:
- 13.97% of loans are in foreclosure or at least one payment past due (or more than 1 in 7 mortgages).
- Foreclosure starts for prime fixed loans – previously the safest loan product (based on historic default rates) – increased to 0.71 percent, tying the survey’s record high.
- Year over year, the non-seasonally adjusted delinquency rate increased for: prime fixed loans, prime ARM loans, subprime fixed loans, and subprime ARM loans.
Downward pressure on the real estate market primarily comes from high unemployment and slow economic/business growth, and this is now more apparent with the release of these reports. Real estate agents, armed with this information, have an unprecedented opportunity to help struggling homeowners avoid foreclosure.
Sandy Wagner
Short Sale Specialist - Helping people find a way out of foreclosure in Pierce County, Washington
253.225.8322
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