Online auctions reduced REO holding time by 52 percent, according to Auction.com’s 2021 Seller Strategy Report. The report identifies distressed disposition strategies that yield better outcomes for mortgage servicers, distressed homeowners, and underserved neighborhoods.
“Shorter REO holding times not only mean lower carrying costs and less risk for the servicer; they also mean much-needed affordable inventory can be returned to the retail market faster,” said Walter Skrzynski, SVP, Auction.com.
The report also reveals:
- How much better price execution is for foreclosure sales than traditional REOs
- The difference in owner-occupancy rates for foreclosure sales vs. traditional REOs
- Amount of surplus funds for distressed homeowners generated by foreclosure sales
- How third-party foreclosure buyers supply much-needed affordable housing inventory
- Recovery of full after-repair market value achieved by different disposition strategies
- And much more
Download the entire report to learn how the Auction.com platform helps servicers, homeowners, and neighborhoods to achieve better outcomes.