From Bloomberg.com today:
“The crash in U.S. home prices will probably resume because about 7 million properties that are likely to be seized by lenders have yet to hit the market, Amherst Securities Group LP analysts said.
The “huge shadow inventory,” reflecting mortgages already being foreclosed upon or now delinquent and likely to be, compares with 1.27 million in 2005, the analysts led by Laurie Goodman wrote today in a report. Assuming no other homes are on the market, it would take 1.35 years to sell the properties based on the current pace of existing-home sales, they said.”
The full article is available here: http://www.bloomberg.com/apps/news?pid=20601087&sid=aw6_gqc0EKKg
The implication is, once again, more inventory can be expected and with it, better pricing for prospective buyers.
