An investigative piece I did, using our proprietary database to look into the threat of the market being flooded with distressed properties.
Much has been made in recent months of the so-called “shadow inventory,” a huge pool of bank-owned properties yet to reach market, whose re-emergence in the coming year could help pin down prices and keep the housing market crying uncle.
But a new look at recent numbers reveals that some of those shadows may not be as deep as once thought.
Banks are taking back fewer properties at foreclosure auctions in Massachusetts, and they’ve sold a substantial number of properties they have taken back over the last few months, according to an analysis of data provided by The Warren Group, publisher of Banker & Tradesman.
PDF of full article: Shadow Inventory
Link to article (paywalled): Banker & Tradesman, Feb. 5, 2010