Foreclosures have and are continuing to become less and less relevant in the market causing prices to begin rising, in some areas. The foreclosure inventory is down almost 20% over a year ago. REO (real estate owned properties) is also down. These are the homes that have been repossessed by banks through the foreclosure process. Many experts feel that the main driver in pushing prices up for 2012 was the decline in REOs and that 2013 prices will be driven more by lack of inventory.
VN:F [1.9.22_1171]Yearly Home Price Gain Predicted by Wall Street Journal,