Distress Sale

Ohio GirlBeach LoverSagamore Hills OH239 postsJoined Feb 13, '06View profile MessageBeach Lover

Nov 27, '06 · 7:53 AM1,993

I saw the following sale notes for a home that sold in a reasonably upscale development along 30A:

"This is a distress sale. Not recommended for comparison purposes."

This home was priced considerably less than identical models, but isn't a sale a sale? I'd be suspect of any realtor who would NOT include this sale for comparison purposes.

Replies

Smiling JOe Smiling JOe avatar

Smiling JOeSoWal Expert31,643 postsJoined Nov 18, '04View profile MessageSoWal Expert

Nov 27, '06 · 8:19 AM#2

not all sales are equal. I do not know the circumstances for this sale.

One example of a "distress sale" could be that the seller needed to sell within 15 days or be facing bankrupcy, and he wouldn't allow any contingencies in the contract. In exchange, they could be selling well below the market price. -- just one example of many. ;-)

Pirate

PirateBeach Fanatic331 postsJoined Jan 2, '06View profile MessageBeach Fanatic

Nov 27, '06 · 3:34 PM#3

There was a sale I used as a comp in Dune Allen like that, it was a beachfront, and the realtor said the same thing. The property was on the market for quite a while so "distress sale" seems inaccurate. Check DOM on that property and see what they were. Someone might be at the end of their rope but most of the sales I have seen are well under asking for the subject property or comparables.

Kurt

KurtAdminSoWal2,474 postsJoined Oct 15, '04View profile MessageAdmin

Nov 27, '06 · 7:47 PM#4

There was a sale I used as a comp in Dune Allen like that, it was a beachfront, and the realtor said the same thing. The property was on the market for quite a while so "distress sale" seems inaccurate. Check DOM on that property and see what they were. Someone might be at the end of their rope but most of the sales I have seen are well under asking for the subject property or comparables.

Might have been the one that was on the market for awhile but then dropped $1 million as there was a family situation. It sold right away when it was dropped.