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58 A MORE CONSISTENTLY COMPETITIVE MARKETPLACE Auctions are also outperforming the retail market when it comes to buyer competition. According to Redfin, the share of MLS listings with multiple offers increased to 49% in May, and was above 50% in some markets, including Boston, Dallas, Washington, D.C., Salt Lake City, and Denver. But even in this frenzied market, the share of retail homes with multiple offers is dwarfed by the share of multiple bidders for distressed homes sold via online auction. Proprietary data from Auction.com shows 85% of all bank-owned (REO) homes sold in May received bids from multiple, unique bidders—well above the retail share of 49%. e share of online REO auction properties with competing bidders rose in the wake of the pandemic-induced economic crisis—like the trend in the retail market— but buyer competition at online auction has been much less volatile than the retail market over time. e share of multiple offers in the retail market, as measured by Redfin, dropped to a 10-year low of 9% in December 2019. at same month, 75% of REOs sold on the Auction.com platform had multiple, competing bidders. LOWER HOLDING COSTS e inconsistent level of competition in the retail market is especially detrimental for distressed properties that aren't also serving as shelter or producing income for the sellers. Each day a distressed property sits on the market represents additional holding costs that aren't providing any corresponding benefit (e.g. shelter or rental income) for the homeowner. Additionally, each day a distressed property sits on the market represents additional risk to the seller and the surrounding neighborhood. Many distressed properties are vacant or abandoned, making them magnets for vandalism and general neglect, both of which contribute to neighborhood blight. More capricious demand in the retail market results in longer days on market for distressed properties, according to an Auction. com analysis of more than 15,000 distressed property dispositions in Q4 2019 using proprietary foreclosure auction data, public record data, and MLS data. e analysis shows that REO homes sold on the MLS took an average of 275 days to sell from the completed foreclosure auction while homes that sold via online REO auction on the Auction.com platform took an average 131 days to sell after the foreclosure auction—144 But even in this frenzied market, the share of retail homes with multiple offers is dwarfed by the share of multiple bidders for distressed homes sold via online auction. Feature By: Daren Blomquist