Knoxville Annual Appreciation Rates

The most common question as of late is, "I've heard about what's happening in Real Estate in the national news. What's happening in the Knoxville Market?" These are the statistics directly from the Knox Area Assoc. of Realtors for sales of three bedroom homes.
We have really done well for appreciation rates with a 5.59% average annual increase from 2000 to 2007. We have had somewhat of a "correction" this year with a 0.667% decrease in value as of the end of the Second Quarter 2008.

How to Succeed Buying a Short Sale

Tips for Buyers wanting to buy a home through a Short Sale (Pre Foreclosure):

• Most lenders are not going to allow a Home Inspection contingency. If you want an inspection, you may have one, but the purchase can't be contingent upon the results. I would suggest having an inspection prior to making your offer.
• Realize you're going to have to wait possibly 3o days before you know if you offer has been accepted by the lender.
• Also realize the lender is attempting to get as many offers as they can and yours may not be chosen.
• Be flexible on your closing date. If you need to be in a home on a certain date a short sale may not be for you.
• Definitely have your mortgage pre approval or bank letter to send in with your offer.
• My experience is that lenders are going to want to net at between 80-87% of appraised value. If I really liked the home, I would offer 75% of the market value. This will get your offer chosen over others and still be a good deal for you.

In the current market short sales are a fact of life. If you have the "nerve" for it, you can come away with a great bargain.