Comments on: There is No Shadow Inventory of Foreclosures http://bayarearealestatetrends.com/2009/10/13/there-is-no-shadow-inventory-of-foreclosures/ Everything You Need to Know About the San Francisco Bay Area Housing Market Sat, 26 May 2012 02:44:11 +0000 hourly 1 http://wordpress.com/ By: Schahrzad Berkland http://bayarearealestatetrends.com/2009/10/13/there-is-no-shadow-inventory-of-foreclosures/#comment-1126 Wed, 28 Oct 2009 21:45:20 +0000 http://housingstorm.com/2009/10/there-is-no-shadow-inventory-of-foreclosures/#comment-1126 Sean is right. I’ve gone out to homes that were REOs for 5 months or more, but were still not listed on the MLS for sale. The prior owners were still living there. Sometimes, eviction can take more than 5 months.

The true shadow is in the delinquencies that are ignored. I hear stories every day from friends who know of someone who has not paid a mortgage in 10, 12 months, and still has no NOD. These people are not in any modification program either.

The bucket of ignored delinquencies is LARGER than the bucket of delinquencies headed through the foreclosure pipeline.

Once they go into the foreclosure pipeline bucket, the homes go straight to REO, eviction if needed, and on the MLS for sale. A few are pulled by the asset managers and sent to property managers to be rented, but that number is small I believe.

Keep your eye on the shadow delinquencies, that is your big story!!!!!

I’m a San Diego realtor, and if anyone has any info on the shadow delinquencies, send them my way to sb@berklandgroup.com, or to the REO Insider.

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