Short Sale Success: Key is to Change Our Mindset!

Short Sale Success: Key is to Change Our Mindset!

A couple of interesting facts in this post from a real estate "insiders" blog that I follow (e.g.:  a buyer who engages in the purchase of a short sale will typically purchase the property at a 21% reduction to the current market value).  We've handled a number of short-sale transactions (buy- and sell-side) and would be pleased to discuss any questions you might have.

Shadow inventory improves...

Interesting article linked below from CNNMoney on the foreclosure mess. As I've blogged about previously (see condo entry from 7/13/2011), foreclosures have had a very real and measurable impact on the market. However, I find it unlikely that there is a massive shadow inventory that will roll over us like a Tsunami. This would imply a level of communication and coordination (not to mention agreement) among the various institutions involved that simply does not exist. Further, if so many were on hold, at least some participants would be releasing inventory in classic "prisoner's dilemma" fashion.

Here's the link: Shadow inventory improves but still threatens housing recovery

Urban farmer turns his yard into a cornucopia of produce

We helped Jake in the purchase of this property. Way to go Jake!

Urban farmer turns his yard into a cornucopia of produce

630 W. Polo Drive, Clayton, MO

One of the most interesting properties on offer...

Mid-year Market Overview

We ran some reports at the end of April.  The Clayton and Ladue markets were looking great.  We were so busy achieving sales that I never got around to posting about them.  We’re now at mid-year and have just run, for all MLS transactions, single family home sales reports for January-June 2011 compared with the same period in 2010.  There is still some good news to report – just a little less rosy than if we had written this post two months ago.

Condo Update/Foreclosures

I ran some statistics recently for a client considering purchasing a block of bank-owned condos and was shocked by what I learned.

Looking across all price points for all of St. Louis County, the average sold price for privately owned condos for the period June 2010 to June 2011 was $198,907.  The average days on market was 142.

The REO stats by comparison to privately owned blew me away.  The average sale price was $100, 211.  The average days on market was 74. 

So, your typical REO is selling for half-price and it is selling twice as fast.  That is an amazing difference. 

Here's a fantastic example of one of our current condo listings (nowhere near average and not a foreclosure - just giving it a plug):



What do I mean by REO? 

Expensive Mistake?

In Saint Louis, it is not the standard for listing agents to meet and accompany the buyer’s agent when the buyer’s agent is showing a property to a client.  However, it is a fairly common practice for many listings in the higher price categories.  There are some valid reasons in favor of the practice, but from my experience working with both buyers and sellers, sellers should be cautious: