• median sale price for all homes was $260,000
• median sale price for all non-distressed homes was $285,000
• median sale price for all short sales was $209,000
• median sale price for all bank owned homes was $191,000.

• distressed homes may have differred maintenance or been abused.
• distressed homes are sometimes rented and not managed very well leading to rough treatment by tenants
• nearly all bank owned homes are vacant for a long time, sometimes an entire year. This can result in mold in the house and other issues (homes don't do well when they are vacant, especially when vacant through the winter).
• many distressed homes would be in the lower price ranges even if they were not distressed

In answer to the buyers' question about getting a deal on a distressed home. The answer is a qualified "yes". Generally, when a home is priced below what its market value should be, it's for a reason. And often with distressed homes, the reason is that the home has significant issues such as mold. However, in many cases, the issues are cosmetic and a buyer willing to fix the cosmetic stuff can get a great deal on a home. Even if the house has to be gutted, it still may be a good deal. Drywall is relatively inexpensive. Opening walls and installing new drywall isn't necessarily a reason for not buying a home if it is priced accordingly.