FirstAm RES Eyes Foreclosures & Discounts

A study that examines the prevalence of real estate foreclosure sales and the depth of discounts around the United States has been released by First American Real Estate Solutions, Anaheim, Calif.The company said the study quantifies the correlation between foreclosures as a percentage of total sales and the size of the discounts buyers typically receive when purchasing foreclosure properties. For example, foreclosure sales accounted for 1.6% of total sales in the first half of 2005 in Maricopa County, Ariz., and the median discount was 6.3%, whereas such sales represented 7.9% of total sales in St. Louis, and the median discount was 29.5%, First American RES reported. The study, titled "Residential Foreclosures: The Prevalence, the Power and the Opportunity," was conducted by Christopher Cagan, director of research and analytics at First American RES. The company can be found online at http://www.firstamres.com.