REO/Short Sale Notes
BofA conducted a realtor seminar today on REOs and short sales.
Some of the highlights:
1. Short sales average three buyers per closing (average two fallouts before the third one sticks).
2. 18% of short sales have some elements of fraud.
3. They forgive deficiencies on all first mortgages in California, and most second mortgages.
4. Of those foreclosed, 30% never attempt a loan-mod or short sale (strategic defaults).
5. Nationally, REOs sell for 12% less than short sales.
More commentary on REO sales: