I live in one of the few places in the country where real estate prices haven't tanked. In fact, I'm less than twenty miles from several zip codes that have actually seen property appreciate in the past year. That said, the RE market is easier here than it used to be and there are twice as many REOs as usual. My wife and I just bought our house in November and we looked at short-sales, foreclosures, and bank owned properties. Short-sales just ain't worth it unless you have 6-9 months to sit on your hands while the bank fucks around deciding that your bid is too low. Many of the bank owned properties were a bargain (say $400k for a house that'd be $450-480k) but the money saved up front is usually going to be chewed up after purchase. The bank, a I'm sure you know, doesn't have to disclose a damn thing because legally they don't know anythying about the property and, in my recent experience, they're reluctant to let insepctions go on because, at least in California, once an isnpection is done the owner is presumed to know the results of the inspection. Anyway, to answer your question more directly, in the Bay Area bank owned properties are about 10-15% under market, though often times the discount is less than that since the market here is so tight (in the city in which we bought our home every house has multiple offers and the list price is where offers begin).
Good luck.
Im thinking of picking up this house thats 70% complete the Bank owned property is listed at 393k which is down from the original price of 450k its been on the market for over 90 days.. Its in a subdivision with Million dollar plus homes..
Spoke to the Listing agent and went and looked at it this AM.. he said someone offered 240k for it but was rejected... after looking at it in person realized that it needs more than what the ad shows.. Needs all Toilets, kitchen appliances, lawn, light fixtures... probably about 50-100 grand in new stuff.. but its a sickass house when its done..
4500sq ft..
was thinking about offering 270-290k ...
u can see it here...
http://www.firstservicegroup.com/public/listingSingle.do?listing.listingID=800080
Spoke to the Listing agent and went and looked at it this AM.. he said someone offered 240k for it but was rejected... after looking at it in person realized that it needs more than what the ad shows.. Needs all Toilets, kitchen appliances, lawn, light fixtures... probably about 50-100 grand in new stuff.. but its a sickass house when its done..
4500sq ft..
was thinking about offering 270-290k ...
u can see it here...
http://www.firstservicegroup.com/public/listingSingle.do?listing.listingID=800080
