Update from the Foreclosure-Based Economy 0
It’s supply and demand. Foreclosures provide supply; cheap mortgage rates provide demand. Such bankster genius.
(snip)
Increases in the sales volume can be attributed in part to distressed sales, which played a major role in Hampton Roads in the past year. Last month, foreclosures and sales by homeowners whose homes are worth less than their mortgage balances – known as short sales – accounted for 33 percent of all sales.
“The market these days is being driven by distressed sales,” said Vinod Agarwal, an economist at Old Dominion University. “They’re selling faster and the non-distressed are not selling as fast.”
