Don't worry, the housing recovery isn't wiping out the discounts on homes that were prevalent at the height if the housing decline. Short sales and foreclosures are still aplenty in many housing markets around the country. And the savings are steep.Short sales went for an average of 23 percent below market rate in the fourth quarter of 2012, according to online foreclosure marketplace RealtyTrac. But there were plenty of markets where the discounts stretched further than that. "Short sales are on the rise as a better alternative to foreclosure in many areas -- good news for buyers and investors in markets where short sales are closing more quickly at solid discounts," said RealtyTrac vice president Daren Blomquist. "But buying from the bank may still be a better option in other markets because of increasing REO inventory, deeper discounts and shorter times to close."
Click through the gallery below to see the 10 best markets to find a short sale.
- <p> <strong>Q4 2012 annual percent change in short sales:</strong> 46%<br /> <strong>Average sales price:</strong> $192,098<br /> <strong>Average amount short:</strong> $65,248<br /> <strong>Average Days to Sell from Foreclosure Start:</strong> 238<br /> <br /> <strong>Find <a href="http://realestate.aol.com/homes-for-sale-listings/Virginia-Beach_VA">homes for sale in Virginia Beach, Va.</a>, or <a href="http://realestate.aol.com/blog/homes-for-sale/">search listings in your area</a>.</strong><br /> <br /> Photo: <a href="http://en.wikipedia.org/wiki/File:Virginia_Beach_from_Fishing_Pier.jpg" target="_blank">Wikimedia Commons</a></p>
- <p> </p> <div style="font-family: Verdana, Arial, sans-serif; font-size: 10pt; line-height: 12pt; color: rgb(51, 51, 51); background-color: rgb(255, 255, 255); "> <p> <strong>Q4 2012 annual percent change in short sales:</strong> 51%<br /> <strong>Average sales price:</strong> $133,999<br /> <strong>Average amount short:</strong> $63,864<br /> <strong>Average Days to Sell from Foreclosure Start:</strong> 198<br /> <br /> <strong>Find <a href="http://realestate.aol.com/homes-for-sale-listings/Des-Moines_IA">homes for sale in Des Moines, Iowa</a>, or <a href="http://realestate.aol.com/blog/homes-for-sale/">search listings in your area</a>.</strong><br /> <br /> Photo: <a href="http://en.wikipedia.org/wiki/File:View_from_the_Pappajohn_Sculpture_Park.jpg" target="_blank">Wikimedia Commons</a></p> </div>
- <p> </p> <div style="font-family: Verdana, Arial, sans-serif; font-size: 10pt; line-height: 12pt; color: rgb(51, 51, 51); background-color: rgb(255, 255, 255); "> <p> <strong>Q4 2012 annual percent change in short sales: </strong>58%<br /> <strong>Average sales price:</strong> $184,700<br /> <strong>Average amount short:</strong> $132,836<br /> <strong>Average Days to Sell from Foreclosure Start:</strong> 235<br /> <br /> <strong>Find <a href="http://realestate.aol.com/homes-for-sale-listings/Sacramento_CA">homes for sale in Sacramento, Calif.</a>, or <a href="http://realestate.aol.com/blog/homes-for-sale/">search listings in your area</a>.</strong><br /> <br /> Photo: <a href="http://en.wikipedia.org/wiki/File:City_Skyline_Raley_Field.JPG" target="_blank">Wikimedia Commons</a></p> </div>
- <p> </p> <div style="font-family: Verdana, Arial, sans-serif; font-size: 10pt; line-height: 12pt; color: rgb(51, 51, 51); background-color: rgb(255, 255, 255); "> <p> <strong>Q4 2012 annual percent change in short sales: </strong>63%<br /> <strong>Average sales price:</strong> $124,555<br /> <strong>Average amount short:</strong> $140,811<br /> <strong>Average Days to Sell from Foreclosure Start:</strong> 358<br /> <br /> <strong>Find <a href="http://realestate.aol.com/homes-for-sale-listings/Las-Vegas_NV">homes for sale in Las Vegas</a>, or <a href="http://realestate.aol.com/blog/homes-for-sale/">search listings in your area</a>.</strong><br /> <br /> Photo: <a href="http://en.wikipedia.org/wiki/File:Las_Vegas_89.jpg" target="_blank">Wikimedia Commons</a></p> </div>
- <p> </p> <div style="font-family: Verdana, Arial, sans-serif; font-size: 10pt; line-height: 12pt; color: rgb(51, 51, 51); background-color: rgb(255, 255, 255); "> <p> <strong>Q4 2012 annual percent change in short sales: </strong>68%<br /> <strong>Average sales price:</strong> $115,107<br /> <strong>Average amount short:</strong> $87,269<br /> <strong>Average Days to Sell from Foreclosure Start:</strong> 235<br /> <br /> <strong>Find <a href="http://realestate.aol.com/homes-for-sale-listings/Bakersfield_CA">homes for sale in Bakersfield, Calif.</a>, or <a href="http://realestate.aol.com/blog/homes-for-sale/">search listings in your area</a>.</strong><br /> <br /> Photo: <a href="http://en.wikipedia.org/wiki/File:DowntownBakersfield.jpg" target="_blank">Wikimedia Commons</a></p> </div>
- <p> </p> <div style="font-family: Verdana, Arial, sans-serif; font-size: 10pt; line-height: 12pt; color: rgb(51, 51, 51); background-color: rgb(255, 255, 255); "> <p> <strong>Q4 2012 annual percent change in short sales: </strong>77%<br /> <strong>Average sales price:</strong> $192,432<br /> <strong>Average amount short:</strong> $177,748<br /> <strong>Average Days to Sell from Foreclosure Start:</strong> 235<br /> <br /> <strong>Find <a href="http://realestate.aol.com/homes-for-sale-listings/Fairfield_CA">homes for sale in Fairfield, Calif.</a>, or <a href="http://realestate.aol.com/blog/homes-for-sale/">search listings in your area</a>.</strong><br /> <br /> Photo: <a href="http://en.wikipedia.org/wiki/File:Welcometofairfield.jpg" target="_blank">Wikimedia Commons</a></p> </div>
- <p> </p> <div style="font-family: Verdana, Arial, sans-serif; font-size: 10pt; line-height: 12pt; color: rgb(51, 51, 51); background-color: rgb(255, 255, 255); "> <p> <strong>Q4 2012 annual percent change in short sales: </strong>81%<br /> <strong>Average sales price:</strong> $91,145<br /> <strong>Average amount short:</strong> $53,158<br /> <strong>Average Days to Sell from Foreclosure Start:</strong> 191<br /> <br /> <strong>Find <a href="http://realestate.aol.com/homes-for-sale-listings/Grand-Rapids_MI">homes for sale in Grand Rapids, Mich.</a>, or <a href="http://realestate.aol.com/blog/homes-for-sale/">search listings in your area</a>.</strong><br /> <br /> Photo: <a href="http://en.wikipedia.org/wiki/File:Grand_Rapids_montage.jpg" target="_blank">Wikimedia Commons</a></p> </div>
- <p> </p> <div style="font-family: Verdana, Arial, sans-serif; font-size: 10pt; line-height: 12pt; color: rgb(51, 51, 51); background-color: rgb(255, 255, 255); "> <p> <strong>Q4 2012 annual percent change in short sales: </strong>97%<br /> <strong>Average sales price:</strong> $145,313<br /> <strong>Average amount short:</strong> $89,140<br /> <strong>Average Days to Sell from Foreclosure Start:</strong> 235<br /> <br /> <strong>Find <a href="http://realestate.aol.com/homes-for-sale-listings/Fresno_CA">homes for sale in Fresno, Calif.</a>, or <a href="http://realestate.aol.com/blog/homes-for-sale/">search listings in your area</a>.</strong><br /> <br /> Photo: <a href="http://www.flickr.com/photos/42dreams/25841607/" target="_blank">Flickr/Mel B.</a></p> </div>
- <p> </p> <div style="font-family: Verdana, Arial, sans-serif; font-size: 10pt; line-height: 12pt; color: rgb(51, 51, 51); background-color: rgb(255, 255, 255); "> <p> <strong>Q4 2012 annual percent change in short sales: </strong>106%<br /> <strong>Average sales price:</strong> $126,496<br /> <strong>Average amount short:</strong> $71,102<br /> <strong>Average Days to Sell from Foreclosure Start:</strong> 235<br /> <br /> <strong>Find <a href="http://realestate.aol.com/homes-for-sale-listings/Visalia_CA">homes for sale in Visalia, Calif.</a>, or <a href="http://realestate.aol.com/blog/homes-for-sale/">search listings in your area</a>.</strong><br /> <br /> Photo: <a href="http://en.wikipedia.org/wiki/File:Visalia_Acequia_Ave..JPG" target="_blank">Wikimedia Commons</a></p> </div>
- <p> </p> <div style="font-family: Verdana, Arial, sans-serif; font-size: 10pt; line-height: 12pt; color: rgb(51, 51, 51); background-color: rgb(255, 255, 255); "> <p> <strong>Q4 2012 annual percent change in short sales: </strong>107%<br /> <strong>Average sales price:</strong> $283,825<br /> <strong>Average amount short:</strong> $178,201<br /> <strong>Average Days to Sell from Foreclosure Start:</strong> 235<br /> <br /> <strong>Find <a href="http://realestate.aol.com/homes-for-sale-listings/Santa-Barbara_CA">homes for sale in Santa Barbara, Calif.</a>, or <a href="http://realestate.aol.com/blog/homes-for-sale/">search listings in your area</a>.</strong><br /> <br /> Photo: <a href="http://en.wikipedia.org/wiki/File:Santabarbarastreetscene.jpg" target="_blank">Wikimedia Commons</a></p> </div>
See more:
10 Best Cities to Buy Foreclosures in 2013
5 Worst Cities to Buy Foreclosures in 2013
10 Best Cities to Own a Home
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Find homes for sale in your area.
Find foreclosures in your area.
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