In general, I would prefer all distressed properties be considered in a separate category from nondistressed properties. The problem is I've been in some bank owned and short sale homes in better condition than some owner occupied nondistressed homes. This is not the rule however.
My advice to my buyers regarding short sales is that they have to be a good deal to risk the time and potential heartache you have to go through to get them. Banks holding out for "nondistressed market value" are deluding themselves, their investors and the public in the current way things are processed. If a short sale could be processed and closed in 60 days or less, the values would easily be higher.
Should distressed properties be used for comps? Only if the appraiser factors in condition and adjusts the value due to being distressed appropriately.... more
None other than they want more. It is not uncommon to see sales canceled or contract prices lowered after an appraisal is finished in todays market. Most contarcts are contingent upon financing and the property appraising for the contract price. If it comes in less, the buyer can not get a loan.... more
The University of South Alabama MITCHELL college of Business Center for Real Estate Studies have
the data your looking for. It breaks it down to property values and % by zones including Bon Secour but
you will need to use 2006 to 2007 not 2008. The web site is cres.southalabama.edu... more