Distressed Sales Volume Remains at Elevated Levels Despite Big Boost in Non-Distressed Sales in Recovering Economy via CoStar Group

2012 Could Match $21 Billion in Distressed CRE Property Sales Last Year -- But It Hasn't Proved To Be Easy Money. Distressed trading volume has stabilized but continues to remain at elevated levels, increasing by approximately 2% last year over 2010. However, a surge in non-distressed property trading driven by improving economic conditions has begun to mitigate its impact on commercial real estate pricing levels overall.

According to CoStar Group data, the volume of distressed transactions in December 2011 remained well above the average monthly volume for the full year, yet the distress percentage of total observed transaction volume fell 30.1% in January 2011 to 21.1% in January 2012.

By way of comparison, distressed sales made up less than 3% of total sales volume in 2008.

Read more...Distressed Sales Volume Remains at Elevated Levels Despite Big Boost in Non-Distressed Sales in Recovering Economy - CoStar Group