Residential home prices may get a boost from an unlikely source: a pickup in short sales, which occur after default, but before a foreclosure auction.

There has been a "dramatic shift" in the willingness of servicers to sell a property for less than the mortgage balance to avoid foreclosing, according to Ron Peltier, chairman and chief executive officer of HomeServices of America Inc., the second-biggest U.S. residential brokerage.

Subscribe Now

Access to a full range of industry content, analysis and expert commentary.

30-Day Free Trial

No credit card required. Access coverage of the securitization marketplace, including breaking news updated throughout the day.