Your neighbor doesn’t even have to foreclose. He just has to sell his house at a price that is competitive with the foreclosures in the area. Then when it is your turn to sell you’re not going to be able to unload your house for 20% more than every other house that has sold in your neighborhood for the last 4 years.
The entire inventory of foreclosures has to be worked through before prices will stabilize. Until then ALL sales will be priced as if competing against a foreclosure next door.
Yes. That was the point I was making.
Foreclosure...new appraisals for those selling...lower selling prices...new foreclosures, etc.
It’s nice on the way up, but is ugly going down.