So what’s behind the slide in residential sales?

Supply of distressed properties thinning out in New York and elsewhere, industry watchers say

TRD New York /
Mar.March 27, 2014 11:45 AM

Experts are attributing a recent dip in residential sales nationwide to a shortage of distressed properties on the market.

Sales of single-family homes, condominiums and townhouses have fallen for four consecutive months.

In February, sales dropped 0.2 percent from the month before, to an annual pace of 5,083,241 homes, according to data from real estate data analytics firm RealtyTrac cited by HousingWire. Short sales and distressed sales accounted for 16.9 percent of transactions — a sharp decline from the 19.1 percent figure for such sales in February 2013, according to the report.

“Supply and demand have reached a bit of a standoff in this uneven real estate recovery,” Daren Blomquist, vice president at RealtyTrac, told HousingWire. “The supply of distressed properties — which buyers and investors have come to rely on over the past few years — is evaporating quickly in most markets, but that dwindling supply is not being adequately replenished by non-distressed homeowners listing their homes or by new homes being built.”

In the commercial market, distressed properties were popular this fall among investors from China. Industry watchers said that was a reflection of a growing willingness to take on risk, as previously reported. Last year, real estate investors complained that distressed buying opportunities in Manhattan were scant. Indeed, the status of about three-quarters of distressed assets that date back to the financial crisis has been resolved. [HousingWire]Angela Hunt


Related Articles

arrow_forward_ios
William Zeckendorf and his brokerages are making moves. (Credit: iStock, Getty Images)

William Zeckendorf wants to build an army of NYC homeowners

Keeping lawns freshly cut and outdoor spaces in tip-top shape could result in greater rewards for sellers. (Credit: iStock, IMDB)

Curb your enthusiasm: Homes with spruced-up outsides sell at premium

Elsa Segura (left) was arrested in connection to realtor Monique Baugh's (right) murder (Credit: iStock)

Second suspect charged in real estate agent’s abduction, murder

Clockwise from top left: John Gomes, Ronita Kalra, Eric Beniam and McKenzie Ryan (Credit: Getty Images, iStock, Wikipedia)

“We’re putting ourselves in situations where anything is possible”: Real estate agent’s killing rattles industry

As the years go by_A look back at 17 years of real estate history

A look back at 17 years of real estate history

157 West 57th Street (Credit: iStock)

One57 condo with reduced ask tops a slow week of luxury contracts

Clockwise from top left: 730 Fifth Avenue, Unit #PH21; 730 Fifth Avenue, Unit #18A; The Pierre, Unit #3101; and The Park Imperial, Unit #64

Priciest homes listed last week include $60M pad at Crown Building

250th Issue

The Real Deal celebrates 250 issues

arrow_forward_ios
Loading...