Traditional Prescott AZ Home Sales Dominate, Distressed Home Sales Rule

Socked in by snow, this Prescott AZ Realtor is taking this time to evaluate the influence of distressed homes, both short sales and REOs/bank owned home sales, on our local real estate market.   I specialize in the town of Prescott, so I will limit my statistics to site built single family home sales in Prescott 2011 year to date. 

The majority of homes currently for sale in Prescott AZ are "Traditional", Regular, Non-distressed homes.

However, traditional home sales in Prescott make up significantly fewer sales as investors, second home buyers, and first time home buyers snatch up the deals offered by distressed properties.  This is obvious as we look at homes pending sale in Prescott as of this writing.  While the inventory of distressed properties hovers around 15%, it accounts for 37% of the pending sales in Prescott.

This trend in Prescott Arizona has been consistent throughout 2011.  The first half of 2011 (Q1 & Q2) saw 38% of all sales from distressed properties.

Sales in the third and fourth quarters of 2011 to date show a rosier picture as 29% of all sales were distressed properties.  However, remember that 37% of pending sales are distressed properties.

Traditional Prescott AZ Home Sales Dominate, Distressed Home Sales Rule.

 While distressed properties do not dominate our Prescott AZ real estate market by shear numbers, they significantly effect sales prices and require those wishing to list and sell their homes to compete on price points.