I read this today regarding marketing REO properties... seems backward to me in today's market... thoughts/comments?
#1 "An REO agent must understand what information to give a buyer."
(* true)
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#2 "In a declining market, active properties are much more reflective of the true value of a property than sold properties."
(* not true in this market - this "rule of thumb" does not jive today. We have underpriced short sales, REO's and even standard sales to generate interest, or overpriced short sales, REO's and standard sales due to the seller's lack of seriuosness or for lack of a better term, denial. Sold comps are more reflective of and more reliable in this market.
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#3 "Property values may have already declined by the time other properties in the area sell so the active listings are much more reflective of the true value of a property."
(* An Active listing often decreases, and then increases, and might decrease again... during one listing period...)
My opinion: An REO agent has to know their market and should be trusted in their marketing and pricing strategies.
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