Miami’s shadow inventory pegged at 5 years

The country still has 49 months to go before the shadow inventory of foreclosed homes is cleared, but in Miami, it will take around 60 months, according to a new analysis by Standard & Poor’s. The ratings agency’s nationwide shadow inventory forecast is up 40 percent from its prediction one year ago, and includes properties that are expected to hit the market, but haven’t yet. Ultimately, those distressed properties are likely to be sold by lenders at discounted prices, which could drag down the housing recovery. In New York, the shadow inventory will take an estimated 10 years to clear, Standard & Poor’s said. [Sun Sentinel]