This graph shows the monthly distressed single family residential sales (SFR) compared to total SFR for all of Kitsap County. REO is an acronym for “Real Estate Owned” which are Bank Owned Properties and SS is an acronym for “Short Sales”. Total distressed Sales in my data are comprised of both REO and SS properties. Of these two types, REO comprised about 75%, while SS is about 25%. So on average in Kitsap County, Short Sales comprise about 8% of the total closed SFR sales, and REO are about 22%.
Another interesting fact derived from the graph/data is how remarkably consistent the monthly total distressed property sales have been as a percentage of total sales for over 1.5 years. To me this implies central planning and control of the rate of distressed sales being allowed on the market, most likely to control the negative impact distressed properties have on resale home prices.
In Kitsap County last month (March 2011), the total percentage of sales that were distressed jumped nearly 10% from all previous months, going back over 1.5 years. For the most part, this recent monthly increase is consistent with National Data for total percentage of properties sold that are distressed, as reported by DSNews.com in a recent article.
From recent conversations I’ve had with several Real Estate Brokers; in the previous month through this week, we have been seeing more appraisals coming in below the agreed upon terms between a willing buyer and willing seller. If this continues, we will see prices decline on average.