Our Terms of Service and Privacy Policy have changed.

By continuing to use this site, you are agreeing to the new Privacy Policy and Terms of Service.

Foreclosures sell at 26% discount

By Les Christie, staff writer


NEW YORK (CNNMoney.com) -- Homes lost to foreclosure now make up a quarter of the real estate market -- and they're selling at big bargains.

Nearly 250,000 residential properties in some stage of foreclosure changed hands during the second quarter, RealtyTrac reported Thursday. They sold for about 26% less than non-foreclosed homes, compared to 35% less in the first quarter.

A little more than half of these deals were of properties repossessed by banks, the remainder came from the ranks of short sales -- where banks allow homeowners to sell for less than they owe on the mortgage.

There was much regional variation in the foreclosure sales data. Rust Belt states such as Ohio and Michigan had moderately or high levels of foreclosure sales, but the former bubble states is where foreclosures continue to dominate.

In Nevada, they accounted for 56% of all transactions, the highest percentage in the nation. Arizona (47%) and California (43%) also had very high levels.

Foreclosure sales were much rarer in Iowa (4.4%), the District of Columbia (5.6%), Montana (6.4%) and New York (7.5%).

The sharpest foreclosure deals were to be found in Ohio, where foreclosure properties sold for 43% less than non-foreclosed homes. Kentucky's discount was 41%, and California's 39%. To top of page


Overnight Avg Rate Latest Change Last Week
30 yr fixed3.84%3.76%
15 yr fixed3.02%3.02%
5/1 ARM3.19%3.14%
30 yr refi3.82%3.75%
15 yr refi3.01%3.03%
Rate data provided
by Bankrate.com
View rates in your area
 
Find personalized rates:
  • Find Homes for sale
    Real estate and homes for sale on Trulia

  • Property Type
  • Find a home in: New York | Atlanta | Chicago | Los Angeles
  • Washington D.C | Houston | Philadelphia | More options
Index Last Change % Change
Dow 21,310.66 -98.89 -0.46%
Nasdaq 6,146.62 -100.53 -1.61%
S&P 500 2,419.38 -19.69 -0.81%
Treasuries 2.20 0.06 2.85%
Data as of 7:09pm ET
Company Price Change % Change
Advanced Micro Devic... 13.40 -0.68 -4.83%
Bank of America Corp... 23.27 0.38 1.66%
General Electric Co 27.21 -0.40 -1.45%
Chesapeake Energy Co... 4.80 0.13 2.78%
Micron Technology In... 31.66 -0.84 -2.58%
Data as of 4:15pm ET

Sections

The City of Los Angeles says that the fast food chain underpaid workers at multiple locations for six months in 2016. More

Under the Senate health care bill, many Americans would end up paying more for doctors' visits and treatment. More

The Silicon Valley startup adds Andrew Ng to its board and raises $50 million to finance public testing. More

After years of a steadily improving stock market, it's only a matter of time before the tides turn and the market falls once again. Here's how to protect yourself when the market inevitably takes a turn for the worse. More