… contrary to what this questioner at Trulia Voices seems to believe:
“Who sets the standard on how low of a price a realtor can sell a home for that is in foreclosure? In December my neighbor had his home on the market for $304,000. which was average for our area. It went to foreclosure and now they have it up for sale for $220,000! That is a disgrace to everyone around and just brings our home values down. How can it be listed so cheap?”
We don’t set the sales price. We’re not selling the home. Your neighbor tried to sell at this stated average price, there were no takers (which means that wasn’t right right price for the neighborhood after all) and now the bank owns the house.
The bank can sell the house for whatever the market will bear. It’s unfortunate. It does bring down property values. But it’s also the way of the market right now. If the bank wanted to sell the house for $100,000 it’s within its right to do so. The bank isre the owner. For that matter, anyone in the neighborhood can sell their home at whatever price they choose.
Real estate agents provide pricing advice, market homes, negotiate contracts and facilitate the sale. But we’re not the ones actually selling the house.
[tags]Phoenix real estate, real estate foreclosures, bank owned homes, Trulia voices[/tags]