Short sales and foreclosures continue downward trend
While central Ohio saw record home sales in 2017, the share of sales that were lender-mediated declined to 4.8 percent during 4Q-2017 which is down by more than half from 2016 (9.0 percent) according to the 4Q-2017 Lender-Mediated Properties Report.
Sales for all homes were up 3.3 percent to 7,519 during the fourth quarter versus the same period the previous year. Of those, traditional sales were up 8.1 percent to 7,158, but lender-mediated closed sales were down 45.1 percent (to 361).
The report compares lender-mediated listings (foreclosures, lender owned, short sales, HUD and VA listings) to traditional listings – those not in a distressed state.
“This is excellent news,” said Sara Walsh, 2018 Columbus REALTORS® President. “With the job growth we’ve experienced and improved economy over the last few years, it’s clear that fewer homeowners are having trouble with their mortgages.”
Just as central Ohio has seen an overall drop in homes for sale, the number of short sales and foreclosures on the market is also down significantly. At the end of 4Q-2017, there were 201 distressed homes for sale, down 60.6 percent from a year ago.
At the end of the fourth quarter, short sales and foreclosures made up just 5.3 percent of the total inventory compared to 8.9 percent in the fourth quarter of 2016.
The 424 distressed homes put on the market during the fourth quarter of 2017 was down 31.8 percent from the previous year.
In 4Q-2016, distressed homes made up 9.5 percent of the new listings. Last quarter, they accounted for just 6.5 percent of the homes and condos added to the inventory of homes for sale in the Columbus region.
This compares to the number of traditional homes (those not in a distressed state) listed for sale during 4Q-2017 which was up 3.2 percent.
“In early 2011, distressed properties made up 23 percent of the inventory and almost half of the sales,” said Walsh. “Now they make up 5.3 percent of the inventory and 4.8 percent of the sales. What a difference!”
4Q-2017 Lender-Mediated Properties Report
4Q-2016 Lender-Mediated Properties Report
Previous Lender-Mediated Reports
Columbus REALTORS® is comprised of over 8,000 real estate professionals engaged in residential sales and leasing, commercial sales and leasing, property management, appraisal, consultation, real estate syndication, land development and more.
The Columbus REALTORS® Multiple Listing Service (MLS) serves all of Franklin, Delaware, Fayette, Licking, Madison, Morrow, Pickaway and Union Counties and parts of Athens, Champagne, Clark, Clinton, Fairfield, Hocking, Knox, Logan, Marion, Muskingum, Perry and Ross Counties.
For more information about the central Ohio housing market, see Housing Reports.
To view residential properties for sale, visit a REALTOR® web site.