Nationwide shadow inventory falls, but remains far from healthy

TRD New York /
Jun.June 22, 2011 12:11 PM

alternate
text
Source: CoreLogic

Nationwide shadow inventory fell slightly in April from a year ago to 1.7 million units, or about five months-worth of supply, according to a report released today by analytic firm CoreLogic. But there are still about four times as many units in shadow inventory as there were before the downturn. Shadow inventory accounts for homes that are seriously delinquent, in foreclosure or owned by lenders, but are not currently listed. Shadow inventory reached its peak in January 2010 with 2 million units, or 8.5 months supply, according to CoreLogic. In April 2010, the shadow inventory of residential units sat at 1.9 million units.

“The shadow inventory has declined by nearly one-fifth since it peaked in early 2010, in large part due to a reduced flow of newly delinquent loans in recent months,” said Mark Fleming, chief economist for CoreLogic. “However, it will probably take several years for the shadow inventory to be absorbed given the long timelines in processing and completing foreclosures.” According to the report there are an additional 2 million negative equity loans that are severly underwater and risk entering the shadow inventory. Total shadow and visible inventory stood at 5.7 million units in April 2011. — Adam Fusfeld


Related Articles

arrow_forward_ios
(Credit: iStock)

Austin MLS accuses CoreLogic of selling its data to appraisers group

Mortgage delinquencies across US dipped to lowest in more than a decade: report

Mortgage delinquencies across US dipped to lowest in more than a decade: report

National Cheat Sheet: Industrial rents hit all-time high, homeownership rates increase nationwide … & more

National Cheat Sheet: Industrial rents hit all-time high, homeownership rates increase nationwide … & more

Home prices in NY area climbed 5.1% year-over-year in August

Home prices in NY area climbed 5.1% year-over-year in August

There’s a large shadow being cast over Manhattan’s resi market

There’s a large shadow being cast over Manhattan’s resi market

Ken Harney

Appraisal “adjustments” can cause trouble

Shadow inventory: the threat that wasn’t

Shadow inventory: the threat that wasn’t

Home prices rise for 21st straight month: CoreLogic

Home prices rise for 21st straight month: CoreLogic

arrow_forward_ios
Loading...