According to CoreLogic, approximately 1.7 million homes in the
U.S. are in the foreclosure process and expected to be put up for sale by April
of 2013. That number is down 18 percent from the peak of the foreclosure crisis,
as fewer loans enter delinquency and more distressed homes are sold.
The so-called shadow inventory represented a 7 month supply on a
national level at the current sales pace and does not appear to be a threat to stability
of the real estate market. The inventory’s size is used as a gauge of
housing-market health because foreclosed homes sell for lower prices which
could in turn cause values to drop and discourage home buying.
The number of homeowners going delinquent on their mortgage is
dropping and it shows there is an ongoing improvement in some areas, including
the Tampa Bay real estate market.
Mortgage delinquencies fell to 8.32 percent in the first quarter
of this year, down from a record 10.1 percent in 2010’s first quarter, according
a Mortgage Bankers Association report. The number
of homes with mortgages at least 90 days late dropped to 1.96 million in April
from a January 2010 peak of 3.06 million
Foreclosures and short sales, in which the lender agrees to a
sale for less than the balance of the mortgage, accounted for 31 percent of
existing-home sales on a national level and account for nearly 45 percent of all home sales
in the Tampa Bay area. These types of sales represent only a small fraction of
the available inventory of homes for sale but attract buyers because of their