Amid Falling Foreclosure Rates and Rising Prices, Trade-Up Buyers Are Coming Back

Foreclosure sales are in rapid decline nationwide and are in high demand in many fast-rising markets, according to a new report from mortgage technology company FNC. The improving foreclosure market is a sign of strengthening supply-side conditions, while on the demand side, steadily rising home prices and an expectation of continued recovery have stimulated housing turnover. “Meanwhile, a very encouraging trend that has been developing is the rising participation of trade-up buyers who are seeing improving home equity position and positive capital appreciation on existing homes,” says Yanling Mayer, director of research for FNC. Increased housing turnover driven by trade-up buying is a key sign of a healthy and sustainable recovery. Trade-up buyers are usually more responsive to market conditions and financial incentives, adds Mayer. | Read More