Whenever you have a concentration of foreclosures and REO they are no longer the anomaly in the market, they are the driving force in the market.Lenders will look at comps too and they are not going to exclude 6 out of the 8 true comparable sales.

There are a couple properties going for $200k, but those are exotic anomalies.

Was this an anomaly?

I always look at title and equity which is why I don't personally work the non-performing 'emotional equity' deals.As previously framed by others, this is loan is an anomaly.

That doesn't have to be an anomaly in a college town.  

It seems like the time that we are in is an anomaly, but many investors aren't aware of that or are not planning for the future.

Here's what we do (copied from our website):Screening ApplicantsPoor screening often results in lost rents, legal & court costs and costly damages.Screening of applicants includes the following:Full credit/eviction/criminal checks are done, instead of score-driven reportsVerification of rental history includes validation of actual property owner to avoid fraudVerification of stability of income & employment via YTD paystubs & W-2(s) (analyzed to confirm not fakes)Income is calculated 3 ways to spot stability anomalies: pay period, YTD average and YTD + W-2 average.Debt-to-income analysis (more accurate than traditional 3x rent requirement)Bank statement to see if NSF issues, if deposits support income, prove MoveIn Funds, also analyzed for unusual transactions.Pet screeningHolding Fee required from approved applicants to make sure they are serious, before your property is marked pending.

But it is an anomaly why central Oregon has allowed and does allow large to VERY large subdivisions with Golf course resort type facilities and in the Willamette Valley you could never get one of those approved today.

Is this a known thing or is it just an anomaly?

that sounds like an anomaly,why such huge increase?