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September 12, 2013

FNC Report: Amid Rapid Declines of Foreclosure Rates and Rising Prices, Prospective Trade-Up Buyers are Returning to the Market

The foreclosure market has rapidly improved in recent months with foreclosure rates approaching pre-crisis levels – an indication of strengthening supply-side conditions. On the demand side, steadily rising home prices and an expectation of continued recovery have stimulated housing turnover by prospective buyers who are in a position to take advantage of low home prices.

In the meantime, higher home prices are bringing out trade-up demand from existing homeowners who are experiencing rising home equity, which supports a down payment on their next bigger house.

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