Smith Farm homes currently under contract

There are currently 20 Smith Farm homes under contract...that's good news. Now for the bad news...

16 of the 20 homes currently under contract are either Bank-Owned homes or Short Sales. That leaves just 4 out of 20 as regular sales of all the Smith Farm homes currently under contract.

This does not bode well for property values going forward as short sales typically sell at a discount to non short sales. And with the ratio being 16 "under contract" homes being short sales or foreclosures and only 4 being non short sales, this could cause an appriasal problem with sales later this year...this is an excellent graphic backing up the advice that I have been giving to sellers/potential sellers in Smith Farm lately: the window of opportunity is small, try to get on the market, under contract, and sold in the next 3-5 months...BEFORE all of these distressed sales become your new comps!