June 30th, 2011
It’s still a great time to buy real estate! With real estate inventories so high, and rates still at attractive levels, the window is wide open for home buyers. But buyers beware, the window doesn’t stay open indefinitely.
Take a look at the blog by Economists Outlook, which features a state-by-state estimate of so-called “Shadow Inventory” – real estate that will be have to be sold that we don’t know about yet. It’s made up of homes that soon will be on the market, but not for the usual reasons.
Shadow inventory includes homes that are usually several months in arrears on their mortgage and about to hit the foreclosure circuit; homes that are 90-plus days delinquent and currently languishing in foreclosure; or bank-owned (REOs) that have not yet been put on the market. But come on the market they will, one way or the other, and at greatly discounted prices – distressed or short sales.