WALTHAM, Mass., April 24, 2018 /PRNewswire/ -- This month's Pro Teck Valuation Services Home Value Forecast explores the impact foreclosures have on the nation's top housing markets.
Traditionally, foreclosures as a percentage of market sales on a healthy market will be 3-5%, anything over 10% will have a marked effect on price appreciation.
As the hottest housing market in the U.S., according to Pro Teck's Top Ten, Reno, NV boasts a foreclosure sales as a percent of market sales of .46%. Conversely, the 25th ranked housing market in the U.S., Columbus, OH, has a foreclosure rate of around 8.97%, much higher than Reno.
Foreclosures in both markets is having a marked, but different, effect on price appreciation in both markets — Columbus has seen a 8.57% yearly increase compared to 16.13% for Reno.
"Think of foreclosure sales as an anchor that can slow down the recovery of a market," said Tom O'Grady, CEO of Pro Teck. "Because foreclosed properties sell for less, they can impact market sales if they become a large enough part of the housing inventory."
Click here to read the entire forecast, including data and graphs that further highlight market trends discussed in this release.
About Home Value Forecast
Home Value Forecast (HVF) is brought to you by Pro Teck Valuation Services. HVF provides insight into the current and future state of the U.S. housing market and delivers 14 market snapshot graphs from the top 30 CBSAs.
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SOURCE Pro Teck Valuation Services