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foreclosure radar says 'not much shadow inventory' ...huh!
invite response
2009 Oct 14, 10:05am 1,760 views 4 comments
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I think the most appropriate response is bwa ha ha, or something like that.
You can make anything look good on paper, and I think that's what this is. One thing to consider is that many banks aren't foreclosing, but aren't NOT foreclosing. They're dragging their feet, which likely makes their balance sheets look better. In the meantime, there's a lot of effective squatters socking away their mortgage payments and living rent free, sometimes for up to three years, (really warms the cockles), which was likely partially responsible for the sunny savings report a few months back -- between mortgage defaults and credit card defaults. The savings rate is back in the toilet, by the way.
Subprime, State Govt Moratorium first wave... and now Alt-A kicking as second wave.. it was predicted a year or two ago.
There is a chart displaying this.. someone may want to repost it.
well, more buyers means more money for them, even foreclosure radar.
they dont want people to wait. they want people to spend money
Done!
2009 Oct 15, 12:05am
This aint nothing but Quantum Real Estate.
I think the inner workings of a Black Hole is easier to prove than our inventory levels.
And time will see those levels consume the market under it's weight and crush the market.
https://s3.amazonaws.com/CA_Foreclosure_Report/September+2009+CA+Foreclosure+Report.pdf
"This month’s report features not only a new look, but an important
new statistic - Bank Owned (REO) Inventory. By looking at the number of foreclosures the banks have taken
back and subtracting those that have since resold, we are able to show the number of foreclosures the
banks have held as inventory over time. That inventory steadily increased through September 2008, at
which point the number of properties banks resold regularly exceeded the number they took back at trustee
sale. With 90,365 properties in inventory, banks currently carry about 4.77 months of supply, however, it
takes the banks on average 7.33 months to dispose of a bank owned home, thus current inventory is less
than should be expected from normal operations given current foreclosure volumes. Bottom line - there is
no “shadow†inventory of bank owned homes being intentionally withheld from the market"
have a read and your comments on this report are welcome....
#housing