Foreclosures sell at 26% discount

By Les Christie, staff writer

NEW YORK ( -- 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 fixed4.33%4.31%
15 yr fixed3.76%3.73%
5/1 ARM4.11%4.21%
30 yr refi4.31%4.28%
15 yr refi3.73%3.70%
Rate data provided
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 24,682.31 -44.96 -0.18%
Nasdaq 7,345.28 -19.02 -0.26%
S&P 500 2,711.93 -5.01 -0.18%
Treasuries 2.91 0.03 0.97%
Data as of 4:41pm ET
Company Price Change % Change
Facebook Inc 169.39 1.24 0.74%
General Electric Co 13.88 0.24 1.76%
Bank of America Corp... 31.87 -0.11 -0.34%
Micron Technology In... 61.07 -0.08 -0.13%
Advanced Micro Devic... 11.26 0.15 1.35%
Data as of 4:01pm ET


A U.S. Facebook user is suing the company and Cambridge Analytica on behalf of users who had their personal data taken without permission. More

President Trump is expected to announce tariffs on $60 billion of Chinese exports to the US in response to China's alleged theft of US intellectual property. Some economists fear the tariffs could spark retaliation by China and a trade war. More

Tax season is prime season for fraudsters to steal your valuable information. Here's a list of 12 of the biggest tax scams the IRS is flagging this year. More