Metro Phoenix Homes: Metro Phoenix Foreclosure Listings continue to decline in September 2009

Metro Phoenix Foreclosure Listings continued to decline in September 2009. The decline in Metro Phoenix foreclosure listings began late last year with the government’s moratorium on foreclosures. The chart indicates that Metro Phoenix foreclosure listings dropped in both the areas of bank owned properties (REO's) and short sales to begin September 2009.  The bank owned properties segment has been a major factor in the high sales throughout the Phoenix area over  the last 5 months.

The decline in Metro Phoenix foreclosure listings has made it more difficult for buyers to purchase a bank owned property.  Many Phoenix foreclosure listings get multiple offers within the first day on the market.  The low supply of Phoenix foreclosure listings versus the high demand for them has swung the lower end of the market into a seller’s market for foreclosure listings.

Short sales are becoming a more important factor in Phoenix foreclosure listings.  Although their numbers have also dropped, the percentage of successful short sale transactions makes it hard to ignore their presence.

The chart indicates 37% of Phoenix foreclosure listings are bank owned properties, while 63% of Phoenix foreclosure listings are short sales to begin September 2009.  That's in contrast to six months ago when the balance of Phoenix foreclosure listings was slightly tipped in favor of bank owned properties.

Read About: MLS listings continue to decline for September 2009 -- current Phoenix foreclosures and total Phoenix homes for sale