Not agreeing with you at all Josh. REO homes in CV on Caminito Stella and on Mesa Norte were priced over 1.4 and 1.8M respectively. The home on Mesa Norte stood firm on offers and received several offers and did not take any of them until they got one at 1.8M.
What Bugs posted most likely rings true for some areas yet you don’t really care about those areas because you would never buy there would you? Read my CV/4S monitor. My last posted showed over 40% of the 4S listings are either shorts or REO. Yet would you call those affordable? I would not yet but yeah in about 2-3 years it very well could be.
Yes distress does lead to affordability but it is all relative to the region, the demand for that region and how long that region has showed distress.
