The national news reports that sales of foreclosed homes accounts for over 50% of sales in some areas. According to RealtyTrac, a company that tracks real estate statistics, in the third quarter of 2010 sales of foreclosed homes accounted for nearly 54% of all sales in Nevada, nearly 47% in Arizona and nearly 40% in California. That does not include short sales, sales in which the selling price is less than the amount owed on the mortgage.

While these are certainly sobering numbers, they are the exception rather that the rule. Nationally, foreclosed home sales represent 15% of all sales. Short sales add not quite 10%, for a total of just under 25% between the two.

The more relevant question is how do the percentages look in our area? The Kitsap County average is the same as the national average; North Kitsap and Jefferson County are below the national average; and Bainbridge Island is much below the others as shown by the following figures.

Short Sales and Bank Owned Property Sales as a Percentage of Total Sales

Kitsap County            25%

North Kitsap               19%

Bainbridge                    7%

Jefferson County        17%

Looking a little closer, the figures below demonstrate another interesting fact. The percentage of sales that are short sales or bank owned properties is about twice (for all but Bainbridge) what their percentage of the available inventory would suggest. For example, for all of Kitsap County 13% of all active listings are short sales or bank owned, but 25% of the closed sales are short sales or bank owned. Clearly the adage of "everyone loves a bargain" (whether perceived or real) holds true here; buyers are migrating towards short sales and bank owned properties.

Short Sale and Bank Owned Property Listings as a Percentage of Total Listings

Kitsap County             13%

North Kitsap                10%

Bainbridge                     6%

Jefferson County           6%