Foreclosure sales continue to power nationwide market

May 26, 2011 12:21PM

The national housing recovery is being delayed by a fall in the number of foreclosed
home sales and a rise in discounts on the homes that are sold, according to RealtyTrac
Inc., an online marketplace for such properties.

The company released a report on Wednesday showing that homes in foreclosure, which
make up about 40 percent of all transactions nationwide, were discounted 27 percent in
the first quarter of this year. In New York, foreclosures only make up about 7 percent of
all transactions statewide, and were discounted about 32 percent.

The report also showed that purchases of homes in foreclosure nationwide fell to 158,434
during that period, less than half the purchasing high set in 2009. In New York state they
totaled about 1,200 sales in the first quarter, 60 percent less than in the same quarter of
2010.

Nationwide, RealtyTrac reports that there are about 1.9 million homes in some stage of
foreclosure, and the average price was $168,321 in the first quarter. In New York, there
are 2,113 homes in foreclosure in the state — most concentrated in Kings County — and the average
price was $288,138 this past quarter. TRD