Posted by:

CJ Harrington
Keller Williams Realty
www.cjharrington.com
cjharrington.crs@gmail.com
440.336.0612

Date: 08/27/08

Real Estate within the last five years has been what I like to call the run-up.  Flippers who bought and sold homes within a year often reaped great profits.

Today, we still see a lot of flipping, yet buying and selling within a year often results in staggering losses.

So, who is suffering? Regular homeowners, speculators and the foreclosed upon who try to get out of loans they can't afford.

Nationally, one-third of homes are underwater, and 20% of transactions happening across the country are foreclosures according to Zillow.com. So, in reality, that is what is driving up the number of home sales for at a loss.

Yes, both are signs of the urgency felt by homeowners and speculators to relinquish properties due to distress, whether that is a result of a bad loan or of a poor market. AKA homeowners behind on their mortgage payments but not yet foreclosed upon. This has been a  result of resetting adjustable-rate payments, job loss or from loans that should never have been written. Still, the result, is the same..the mortgage is unlikely to be fully paid off by its current owners. 

So, I hope you understand what is happening in our market, and if you are flipping, make sure to make it quick.

For More Information!

Check Out Our Website:

www.cjharrington.com

For FREE Buyer AND Seller Reports!

Or call my cell phone at 440.336.0612.