For example, a unit of Citigroup, the troubled financial giant, sold a foreclosure in Temecula to an Arizona investment firm for $139,000 when comparable homes in the area were selling for $240,000 to $260,000.Citi just left $100,000 on the table.
The firm listed the home for $249,000, received multiple offers and the property has entered escrow, said Amber Schlieder, the real estate agent who handled the listing.
I hear stories like this all the time.
Here is a short video from KCET with a couple more examples (these are short sales):
Clearly the banks are overwhelmed and the process is broken. Maybe there is an opportunity here for added transparency ...