Asset Value Appraisal and Consulting Rotating Header Image

market condition

Shadow Inventory?

Shadow Inventory Gets More Shadowy

Tim Cavanaugh | April 26, 2010

If you’ve been trying to keep track of the “shadow inventory” of homes that are destined to be foreclosed and come onto the market within the next few years, you’ll be glad to know that the hard-to-determine statistic has been narrowed down: It’s either 1.7 million houses or 12 million houses.

That’s the skinny from a site called CapitalGainsAndGames.com, which cites some comments made last week by Amherst Securities analyst Laurie Goodman:

Laurie Goodman told the National Economists Club today in D.C. 7.2 million are already in the delinquency pipeline, and 250,000 are going delinquent each month bringing the total to 12 million. “Once you’re 60 days delinquent, a foreclosure is highly probable,” she said. Goodman is a Senior Managing Director of Amherst Securities and is widely recognized as the best housing finance economist on Wall Street. (more…)