Shadow Inventory Declines

I always thought "Shadow Inventory" were homes reposed by the banks but not
put on the market. However, the definition I got from an Economist at a PNC
Bank seminar was different. He defined it as homes that were in the process
of default (potential future supply of foreclosures).

If that's that case, from what I see on ForeclosureRadar indicates that the
situation is getting better.

From DS News:

> Shadow Inventory Drops but Supply to Remain High
for Extended Period

The industry's shadow inventory of repossessed and soon-to-be repossessed
homes that aren't visible as properties for sale has contracted, according
to CoreLogic. Analysis released by the company Wednesday shows that the
shadow inventory of residential properties as of January 2011 fell to 1.8
million, down from 2.0 million a year earlier. For the first time, CoreLogic
also examined how loan modifications and short sales could reduce shadow
inventory levels.
> > Read More



Sunil Sethi / Broker, President, REALTOR, MBA, CPA (inactive)
38750 Paseo Padre Pkwy Suite B3 / Fremont, CA 94536

CA DRE#: 01173766