Bank Owned Houses, is Cash King or Not?

Southern Colorado, Pueblo and Canon City have their share of bank owned properties. But it’s a competitive market and sellers are pulling out all the stops to get the buyers attention and stay competitive.

Ultimately any seller will receive cash, depending on the circumstances. But cash is King and time is leverage. Cash offers can sometimes close more quickly than a financed offer.

 

Does a cash offer get a better deal on Bank Owned Property?

2010 Year End Stats:

*Pueblo MLS:

182 Cash closes          List price vs Sold price   Avg 90.99%- 92.91%        highest 134.74%

270 Financed Closes List price vs Sold price   Avg 98.74%-100%           highest 157.8%

*Royal Gorge MLS:

42 Cash Closes   List price vs Sold price          Avg 91.71% – 95.07%         highest 117.06%

39 Financed Closes List price vs Sold price    Avg 95.8% – 96.69%          highest 106.2%

Not every buyer can pay cash for a property. But these stats prove that Cash is still king. Buyers who are financing should approach a property that needs to be financed with realistic expectations. Banks are not  desperate to sell, they own the property. And if a property is in good condition banks are getting close asking price because they were priced correctly to begin with. Asset managers over seeing these bank owned properties know what they are doing. They price them right from the start.

More 2010 Stats on bank owned property : http://www.realestatecoloradostyle.com/bank-owned-houses-sold-in-2010

*Properties listed on the Pueblo MLS or Royal Gorge MLS may or may not be in the immediate area.

Dena Stevens Putting the ‘real’ into REALTOR since 2004

About Dena Stevens (719) 369.9087

Putting the 'real' into REALTOR since 2004 Ask about vacant land, ranch land or residential properties. Loyalty and devotion are things buyers and sellers expect from their Realtor as well as the fiduciary responsibility of due diligence. Dena is a certified Ecobroker, focused on sustainability, energy efficiency and the environment and is a Certified Sales Professional from the Association of Home Builders. Specialties: A client once said "you put the 'real' into REALTOR" to me. I took it as a complement and I've been using it ever since, I'm a no nonsense kind of person. I've been helping people buy and sell real estate since 2004. Associate Broker REALTOR Certified Sales Professional (CSP) Short Sale Foreclosure Resource (SFR) Ecobroker GHSP The Fair Housing Act is a federal act in the United States intended to protect the buyer or renter of a dwelling from seller or landlord discrimination. Its primary prohibition makes it unlawful to refuse to sell, rent to, or negotiate with any person because of that person's inclusion in a protected class.
This entry was posted in Colorado Real Estate and tagged , , , , . Bookmark the permalink.

4 Responses to Bank Owned Houses, is Cash King or Not?

  1. Pingback: Bank Owned Houses Sold in 2010 | Real Estate Colorado Style

  2. Betty Jung says:

    Good analysis and comparison Dena. May surprise some folks.

  3. Dena, Those stats speak for themself! I have to admit they surprised me. Cash is still KING!

  4. Pingback: Email Me Foreclosed, REO and Bank Owned Properties | Real Estate Colorado Style