It’s entirely possible that institutional investors have picked off the best of homes to be had from REO assets held by the Federal Deposit Insurance Corp.
So far this year, the FDIC has sold 281 single-family homes for a combined $23.3 million for an average of $82,986. That compares noticeable to the 451 single-family homes sold last year for $85.4 million last year at an average of $189,290.
It’s most likely that homes in the best market are also thinning out noticeably. Last year, 92 of the FDIC’s sales were for California homes with an average home price of $324,976. Eighty-two homes were sold in Washington at an average of $232,190. This year, there have been only two homes sold in California; one for $370,000 and one for $128,000. There have been no homes sold in Washington.
2012 doesn’t even compare to 2011, when the FDIC sold 1,113 residences for a combined $316.8 million for an average of $284,667. Buyers were buying homes in the hundreds in Florida, Georgia, Washington and Michigan at an average of $316,233, $238,815, $385,510 and $150,918 respectively. Of those markets, sales were fairly active this year in Georgia where 64 homes have been sold at an average of $96,929.