Short Sales Lose Appeal Among First-time Buyers

Short Sales Lose Appeal Among First-time Buyers

Among first-time buyers, their short sale purchase share dropped to 39.7 percent of all short sale transactions in August—posting a three-month drop and reaching its lowest share ever recorded for first-time home buyers, according to the latest Campbell/Inside Mortgage Finance HousingPulse Tracking Survey. In November 2009, first-time home buyers’ share of short sales had reached a peak of 54.1 percent of all short sale transactions.

With bargain deals, why are short sales losing their appeal? Buyers are complaining that short sale transactions take too long to close, with approval times often taking several months after a buyer even submits an offers. Some buyers frustrated at the delays are placing offers on multiple properties, planning to close on whichever one is approved the fastest. The average time on market for short sales is 16.6 weeks, and the majority of that time is spent waiting for short sale approval, the HousingPulse Tracking Survey found.

Source: “First-Time Buyers Losing Interest in Short Sales,” RISMedia (Sept. 26, 2011)

Read More: 
Beware Legal Pitfalls With Foreclosures, Short Sales

6 years ago by in Foreclosures , Market News | You can follow any responses to this entry through the RSS feed. You can leave a response, or trackback from your own site.
Buy a Home with and Receive 66% of our Commission | Average rebate is over $10,000 Contact an Agent