Finally had some time to come back to this one. here is what I am seeing. The number of distressed properties on the market seems to be way down among single family homes between 500 and 1M. The market is now much more dominated by sellers with equity. Many of them are sellers just trying to get out and not take too much of a beating. A high percentage seem to be pushing themarket for the properties by about 5%. Here is a perfect example of two properties i have for sale.

Property #1 was original owner with tons of equity. Seller took my advice and listed at the price I recommended. House sold within $10k of listing price in less than 3 weeks

Property #2 was recent buyer with plenty of equity. Seller pushed price about $20K above my recommendation. After 30 days of limited showings and no offers, seller reduced price to my original recommendation. We got an offer within 2 days that we are still negotiating with and house is now being shown 10 to 15 times a week.

If the price is right on, the offers come, if its off even a little the house sits until the price is right. The slowness I see is due to mispriced homes.