Foreclosures and short sales continue to be on the rise in the Jacksonville Florida Real Estate market.  The 2008 year saw dramatic changes to the market.  Sellers began to lose their "staying power" short sales and REOs took off.

The year opened with the Jacksonville Real Estate Market at a low 6.21% ratio of homes sold being distressed properties-either foreclosures or short sales.  By the December 31st of 2008, that average had gone up to almost 22%.  The December 31st average of short sales and REOs sold over the past 30 days was almost 32% indicating that this average is continuing to go up as Jacksonville short sales and foreclosures continue to be the place to find deals.

For single family homes and townhomes (non-condo properties), the pending to active ratio for distressed properties is at 30%, dramatically higher than the 14% that the Jacksonville real estate market is seeing overall.  This indicates that these distressed properties are going under contract at a higher rate for every home that comes on the market.  Almost 53% of all homes under contract in the Jacksonville real estate market are now short sales or foreclosures!  They are simply better deals right now.  Sellers that have purchased their homes in the last 5-7 years in many cases can not afford to get out without selling short.  The reluctance to do this is often great, so many sellers continue to try to get money back out of their house.

Buyers are very savvy.  They know when a house is overpriced and they are not interested.  Upgrades that were worth so much a few years back are now largely irrelevant to buyers.  Houses are commodities, buyers simply want the best price.

The condo market is faring slightly better for sellers.  For condos 22% of all condos under contract are short sales or foreclosures.  Just over 10% of the condos sold in 2008 were short sales or foreclosures.  This is up from less than 1% at the beginning of the year.  The fact that over the past 30 days the percentage closed was at 15% shows that the uptrend is continuing.

If you have bought in the last 5-7 years and need an honest, upfront evaluation of your situation, let us know.  We can also help you purchase one of these great deals.  Just let us know when you are ready.