Cash sales comprised only 33 percent of total home sales in June, 2014, the lowest level since Sept. 2008, and a drop of 36.3 percent from June 2013, with the share falling year over year each month since Jan 2013. Before the housing crisis began, according to worldpropertychannel.com, cash home sales averaged 25 percent, peaking at 46.2 percent in Jan. 2011. In June, REO (real estate owned) sales comprised the largest cash sales portion at 55.3 percent, followed by re-sales at 32.5 percent, short sales at 31.8 percent and newly-built homes at 16.2 percent. REO sales comprised 7.2 percent of total June sales, a significant drop from the Jan. 2011 total of 24 percent. MHProNews understands cash sales often reflect investors buying inexpensive properties for resale or as rentals. ##
