DISTRESSED HOMES SELL AT 26 PERCENT DISCOUNT IN U.S., SUPPLY SWELLS

RealtyTrac Inc. reported today that homes in the foreclosure process sold at an average 26 percent discount in the second quarter as almost one-fourth of all U.S. transactions involved properties in some stage of mortgage distress, Bloomberg news reported today. Foreclosures are adding to a swelling U.S. housing supply as an unemployment rate of 9.6 percent and the end of a federal homebuyer tax credit dampen purchases. A total of 248,534 homes that sold in the period had received a default or auction notice or been seized by banks, RealtyTrac said. The number was up 5 percent from the first quarter and down 20 percent from a year earlier, according to the Irvine, Calif.-based data seller. About 24 percent of all homes sold were in some stage of foreclosure, down from 31 percent in the first quarter. The average price of a distressed property was $174,198, up from $171,971, the company said.

Chart of Sales
http://charts.abi.org/