After a steady stream of buyers came through my new listing today, it’s hard to believe some people are out preparing for what is being presented as an inevitable wave of short sales.
When I sold this mid-century modern home to my clients in 2010 the listing sheet bragged that it was not a short sale, that the folks on title as owners did not have to beg permission from a lender to sell their home. A little over a decade ago buyers in the marketplace had become weary of dealing with corporate interests who had to forego of some profits in order to allow a sale to proceed. What we call a traditional seller was a valued party to the transaction.
With demand for single family homes peaking as inventory shrinks, the days of bank owned properties are part of a foggy past. But maybe it makes sense that the reason for the inventory shortage is in part due to the protections in place for all those distressed sellers who would have had to jump in the game and let their homes go to market. Once a past due seller realizes they can live rent and payment free, why not coast it out.
If the incentives are there, that is exactly what should be anticipated.
One fellow realtor went to a class recently offered on the topic, and said the presenter had some pretty astounding numbers. They are predicting a tsunami of distressed property once Covid protections are lifted. Time will tell how demand absorbs it all.