WASHINGTON DC - Freddie Mac just released information indicating that short sales are up 600% from just 2 years ago. This statistic is remarkably powerful considering that 2008 was a record year for short sales. As anticipated (and predicted by this author), short sales continue to rise at astonishing rates. Anyone NOT investing in short sales is missing out on a gigantic portion of the market (as much as 64% of the available properties for sale in some parts of the country). Freddie Mac CEO Ed Haldeman said that Freddie Mac is doing everything it can to prevent more foreclosures and that short sales are becoming an ever-popular tool in situations where foreclosure is immenent and modifications have failed.
Short sales have become so prominent that RealtyTrac, an online foreclosure marketplace, is even preparing a short sale report to go along with its usual foreclosure report every month. Sources at RealtyTrac say that this will not be launched until the end of the year. Haldeman made it very clear that a short sale is an important foreclosure alternative. Citing numerous indepedent studies, he even revealed a lending secret stating that banks lose 30% to 60% of the outstanding mortgage when a property goes to foreclosures. Freddie Mac, of all organizations, would be acutely aware of this because they have reported $84.4 Billion in loses since the middle of 2008...OUCH! The Orange County Register reported that short sale transactions are up 74% in Southern California this year. The total amount of short sales in Southern Cal have topped 13,000 in the first half of 2010 alone and that number is rising. What makes these statistics so incredibly powerful is just how many short sales there have been in 2008 and 2009. Short sales were swallowing the market for the last few years and now they are even bigger than ever (once again, as this author had predicted). Happy Investing! If you are NOT a member of one of our mentoring programs, listen up. Join me for my all new FREE Short Sale and Foreclosure Training. This training is geared for anyone who wants to start making money investing in real estate but may not have the cash, or the credit or the experience. This training could change your financial life forever. To register, click the following link FREE Short Sale and Foreclosure Training. Also, feel free to leave any comments below.