Short Sales and Foreclosures, What the MLS Numbers Show

If you own property in Southwest Florida, you have probably wondered how many homes are selling under pressure. I pulled the numbers from the MLS so you do not have to guess.

For the 12 months ending October 21, 2026, there were 20,347 closed sales across the Naples, Bonita Springs, Estero, and Fort Myers areas, as the MLS defines them. Of those, 62 were short sales and 93 were bank owned (REO) sales. That is 155 in total, or less than 1% of the market.

The Trend

The trend is what stands out. In the prior 12 months, the same search found 27 short sales and 55 REO sales. Short sales have more than doubled, REO sales are up about 69%, and the combined total has nearly doubled from 82 to 155. Still a small slice of the market, but it is moving in one direction.

How They Sold

SHORT SALES

Closed at a median of $357,500, after a median of 72 days on market, at 96.6% of list price.

BANK OWNED (REO)

Closed at a median of $222,000, after a median of 56 days, at 95.9% of list price.

Short Sale or Foreclosure?

A short sale means the home sells for less than what is owed on the mortgage, with the lender’s approval. A foreclosure is the legal process a lender uses to take a property after payments stop. In Florida it goes through the courts, so there is usually time to explore options if you act early.

One note on the data: these figures reflect what agents tag in the MLS, and homes sold at auction before reaching the MLS are not included, so actual distressed activity could be higher.

Here is how I can help.

If you are a seller struggling with payments, timing matters most. I can give you an honest read on your home’s value, walk you through your options, including a traditional sale, a short sale, or a loan modification, and handle the listing and the back and forth with your lender. I will also connect you with a real estate attorney, since deficiency balances and tax questions belong with a licensed professional.

If you are a buyer, I can help you find short sales and bank owned listings that fit your goals and set realistic expectations. Short sales move slowly, and bank owned homes are sold as is. I will look into condition, title, and unpaid HOA or condo balances before you commit, because a low price does not always mean a good deal.

If you are an investor, I can help you decide whether a distressed property makes financial sense, including what it may realistically sell or rent for afterward, and whether an auction purchase, which usually requires cash and quick payment, fits your plan.

Source: Southwest Florida MLS, closed sales from 10/22/2025 to 10/21/2026, compared with 10/22/2024 to 10/21/2025.

None of this is about taking advantage of anyone’s situation. These sales are a normal part of any market cycle, and the people who do best get clear, calm guidance early. If you or someone you know is facing a difficult situation with a mortgage, a confidential conversation is a good first step.