Don’t shoot the messenger but I am actually seeing more and more appraisals come back above accepted offers. Prices negotiated and accepted on short sales a few months ago are actually lower than the prices we are seeing today. Many short sales are closing well above the asking prices raising comps and overall I am seeing some appreciation the last few months in many segments.

I just got a BPO back on a new listing for 535K that has several offers above 600K all from very well qualified buyers (i.e. at least 20% down and one is all cash). Personally I think the out of area BPO guy blew it on this one but either way prices have really firmed up in core markets throughout the county.