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Bank owned or in anyway distressed property is the new hot ticket item. That’s right. The only real thing selling in our market, and the rest of the country for that matter, are these distressed owned homes. I was checking out an article on CNBC.com (the reference is here) but just like it states, the discounts on distressed homes are amazing. It’s bringing in buyers who have money and or have the credit to get a home loan. They’re buying great properties in neighborhoods which they would have otherwise been cut out of because of the prices.

The National Association of Realtors first started polling members on foreclosures and short sales in March 2008 and has been doing so monthly since last October. Nationwide, such transactions have ranged between 31 percent and 49 percent of total sales this year.

Those numbers are pretty substantial. Almost 50 percent of home sales this year are foreclosure properties. Wow! Just to show you the deals that are being had,

Foreclosed properties were selling at a 60-percent discount to the median sales price for a conventional transaction. Short-sale properties were fetching 40-percent less.

Now that explains it all right there. Why buy an exisiting home when prices are looking like that.