CNBC Reporting 33% of Existing Sales "Distressed"

By
Services for Real Estate Pros with Liberty Mutual

Diane (I've Never Seen Any Good News in the Market) Olnick is reporting that sales nationwide are holding at just under 5 million homes in May which is good, but that 33% of the homes selling are those either in foreclosure or approaching foreclosure. She quotes "the Realtors" as saying 33% are distressed. Is that the National Association of REALTORS or a pity party of former Realtors hanging out at Starbucks?

I was a Journalism Major - I was taught that if you can't clearly state your source, then you'd better think twice about publishing the story. Who is the source of that quote? Is it actual data or someone's hunch?

Her article on cnbc.com is titled "Existing Sales Rise, But Look At What's Selling". I'm sorry, but isn't it obvious that the homes with the best value would sell first? And weren't we just talking a few months ago about having to suck up some price decreases to absorb the inventory and get back into a more comfortable number of homes listed? Well, now that we're doing that why are we taken to task?

Another great example of the media focusing on negatives and missing the point - the inventory of homes will eventually improve and we'll all get through this.

KEVIN'S SPIN
IF the 33% is an accurate number - let's get a real source quoted - this is a good thing. The more we sell at discount prices the closer we get to a normal market again.

 

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