2013 has been a good year for the real estate market and is continuing to show improvements from the past few years. As a Lake Nacimiento Real Estate agent, I feel it’s important to keep you in the loop of the current national housing market as well as what’s taking place in the Lake Nacimiento Real Estate market.
You’ve no doubt heard about short sales and foreclosures in the past few years as their inventory hit an all time high. But there’s another term that not many are familiar with, and that’s shadow inventory.
Shadow inventory are those homes that are bank owned, or have not yet foreclosed on a non performing mortgage, but have not yet been put on the market. Banks choose to not list their entire shadow inventory for a variety of reasons. First and foremost, they realize that by listing these homes, it can inundate the market with distressed properties, which can be detrimental for homes that are not distressed. An areas’ market value can be greatly affected by an abundance of foreclosures on the market. It could also be that they don’t have the staff to handle that many foreclosures at once with the amount of paperwork that is involved. Another reason is that they don’t want to count those losses all in one quarter, but would rather spread them out over the course of a year.
A few years ago, I gave an update on the looming shadow inventory that was waiting in the wings of the national housing market. Yet, there’s good news! Recently CoreLogic put out a report that noted the decrease of this inventory across the nation.
From its peak three years ago, the nation’s shadow inventory has fallen 28%, with 2.2 million units left sitting in the pipeline during the month of January. That figure is down 18% from year ago levels when 2.6 million housing units still remained in the pipeline.
“The shadow inventory continued to drop at double the rate in January from prior-year levels. At this point in the recovery, we are seeing healthy reductions across much of the nation,” said Anand Nallathambi, president and CEO of CoreLogic. “As we move forward in 2013, we need to see more progress in Florida, New York, California, Illinois and New Jersey which now account for almost half of the country’s remaining shadow inventory.”
While we are seeing a decline in distressed properties and shadow inventory here in California, there are still many who are dealing with the ramifications of a healing economy.
If your home is currently underwater and have questions about your options to avoid foreclosure; please let me know! As a Certified Distressed Property Expert, I can answer your questions and help find the best option for you and your home. Please feel free to contact me anytime!
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Oak Shores Realty
Oak Shores Realty specializes in Oak Shores at Lake Nacimiento properties. Please contact us today to get more information on Lake Nacimiento lake homes. Oak Shores Realty can also provide you an insiders “Lake Nacimiento Buying Guide” with great information including maps and market information.
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