Bank-Owned Property Sales Up 31% in Chicago-Area Last Year

Posted by Helaine Cohen on Friday, March 22nd, 2013 at 12:32pm.

Chicago Bank Owned Home SalesIn 2012, sales of foreclosed Chicago homes in the metropolitan area grew 31% from the previous year despite a decrease in the number of nationwide foreclosures. The information comes from a recent survey by RealtyTrac, a real estate information service. According to their findings, the Chicago-area saw 43,178 foreclosed properties last year, and foreclosure sales accounted for 31% of all sales in the area. That’s a 1% increase from 2011.

In fact, the number of bank-owned property sales was up across Illinois. Experts say that the number of distressed homes sold in Illinois last year was up 52% year-over-year. Nationwide, foreclosure sales fell 6% last year, and foreclosures accounted for 21% of all U.S. sales.

Daren Blomquist, vice president of RealtyTrac, said, “Although foreclosure-related sales represent a shrinking share of total sales, primarily because of fewer bank-owned purchases, distressed sales are still a disproportionately high portion of the overall housing market. And while distressed properties — whether bank-owned, pre-foreclosure or short sales not in foreclosure — are still selling at a significant discount compared to non-distressed properties, average distressed property prices are increasing in many markets thanks to strong demand and limited inventory.”

Across the U.S., the sale of bank-owned properties fell 15% in 2012 from the previous year, and the number was down 19% from 2010. It’s a marked improvement considering the state of the real estate market post-recession. Still, the number of foreclosures rose in 26 states, including Illinois, which saw a 19% increase. Inventory issues continue to be a problem in Chicago and across the country, but as banks continue to deal with the backlog of foreclosed properties, more are expected to come to market.

To learn more about Chicago foreclsoures and short sales that are currently listed for sale, please contact me. I’m a local real estate expert who has negotaited bank owned and short sales. I’d love to assist you in your search.
Helaine Cohen, Chicago Real Estate Broker

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