Foreclosure Home Sales Rise in York County

by Peter Vernon on Foreclosures

Latest figures from York County, Pennsylvania showed improved foreclosure home sales and existing residence sales for the first four months of 2010. Statistics showed that the first four months of the current year recorded a 13% jump compared with the same period of the previous year.

According to local property market observers, the upward trend in the home auction foreclosures sales was mainly due to the economic recovery being experienced by the country and the whole state of Pennsylvania.

A report by the Realtors Association of York and Adams Counties (RAYAC) showed that more than 1,130 houses were sold from the first of January until the last day of April. RAYAC officials also revealed that the county has enjoyed ten consecutive months of higher sales compared with same month-previous year periods.

The report also revealed that the average price of homes, including fixer upper homes, multifamily dwellings, single family homes and other types of dwellings, during January-April 2010 was $149,900. This translates to a three percent decrease compared with the median price of homes a year ago, which was pegged at $155,000.

Officials at RAYAC have stated that the median price of houses in the area is being pulled down by short sales and bank owned home foreclosures. Despite the impact of shorts sales and foreclosures, market analysts are predicting that local real estate will continue to readjust in the coming months.

The rise in foreclosure home sales has been attributed by real estate analysts to affordable prices, low interest rates and a general feeling among buyers that the housing market is stabilizing. The federal tax credit initiative also played a role in higher home sales during 2010, analysts have added.

Because of the April deadline for the tax credit, a big number of homebuyers pushed for the completion of purchase contracts before the month ended, adding a big number to home sale records for the period covered by the RAYAC report. A total of 351 houses were sold in April, compared with 288 during the same month of 2009.

Despite the incentive provided by the tax credit, real estate observers believe that increased foreclosure home sales was not due to buyers merely wanting to utilize the credit. They argued that even after the credit deadline, people are still looking at residential properties in the county.

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