search

The Real Deal Logo

Trending

HGTV’s “Mr. Flip It” gets four years in jail for $10M fraudHGTV’s “Mr. Flip It” gets four years in jail for $10M fraudMacerich faces “imminent” default on $300M Santa Monica Place loanMacerich faces “imminent” default on $300M Santa Monica Place loanH-E-B snags 21 acres in Celina, hinting at development boomH-E-B snags 21 acres in Celina, hinting at development boomLawmakers reach sweeping housing deal with “good cause eviction,” new 421aLawmakers reach sweeping housing deal with “good cause eviction,” new 421a
South Florida

Now should be a buyer’s market, but it’s not

Falling house prices should facilitate a buyer’s market; not so, according to the Wall Street Journal. A decline in prices, especially in the last few quarters, is making sellers reluctant to give discounts, and without the reassurance of a discount, buyers are hesitant. This awkward catch 22 has inspired a growth in interest in bank-owned foreclosures which are, to buyers’ frustration, being snapped up by wealthy investors willing to pay cash.

Sign Up for the undefined Newsletter

Sellers are also having problems competing with foreclosures: At the current sales pace, it would take more than 16 months to sell all the listings in Long Island. A balanced market would be closer to six months.

With foreclosures in such demand, mortgage companies are running into processing problems, limiting the flow of foreclosure properties in states such as New York, New Jersey and Florida. [WSJ]

Tags
Foreclosures