So says CNNMoney.com
NEW YORK (CNNMoney.com) Foreclosed properties are selling at a discount that can only be described as HUGE! Homes in foreclosure sold for 32% less than homes not in foreclosure.
Read all about it > Buy a foreclosure - save 30% on the price
Those are national figures that CNN is quoting, but it made me wonder, how do they compare to foreclosure savings here in the Tucson Foothills.
So here’s the skinny on foreclosure vs non foreclosure sale prices in the Tucson foothills. This is for single family homes sold from June 1 – November 30th
280 total homes sold in that period
232 were non-foreclosure sales, they sold for average/median/avg $/sf of;
$512,897/$425,000/$171/sf
48 were foreclosures, they sold for;
$380,459/$307,203/$128/sf
That’s 26% less for the average sale price, just under 28% less for the median and
25% for $/sf. So our discount on foreclosures is in line with the national figures.
But what we don’t know, particularly when comparing a large number of homes, is whether or not these foreclosure and non-foreclosure homes are really comparable.
Are homes that go into foreclosure similar to those that don’t. Are they found in similar locations, are they of comparable quality, of approximately the same age with similar amenities, etc. We know that very often foreclosures are left in poor condition. They’re notorious for their lack of upkeep and damage done, as well as missing parts like fixtures, appliances and whatnot. What % is that worth and how to factor it in. ?? So while foreclosures may sell for 25 to 30% less than normal sales, often, there are other factors and costs to consider when comparing them to normal properties and prices.
But however wishy-washy those figures may be, you can take these to the bank,
ha ha; foreclosures accounted for 17% of all single family home sales in the Tucson Foothills during that recent 6 month period (June 1- Nov 30). And that’s up from 10% of sales during the previous 6 month period. cha-ching!!
see thefoothillsToday.com
to find your Foothills home