Stop Home Foreclosure

If you are a Real Estate Agent that does short sales or an investor that does short sale investing, the Shadow Inventory will have a significant role in your business that you must know about

Professionals are at odds in their agreement on shadow Inventory. It seems that they can’t decide whether it’s good, bad, or if it even exists at all. Will it destroy the real estate market?

This article will uncover secrets about the shadow inventory that many people don’t want you to know about. After researching this topic in depth, I believe you should understand the concerns.

1. Millions of homeowners that are currently “safe” with their payments, and in no trouble with their loan simply want to move for location sake, upsize, downsize etc. Many of these homeowners are waiting to put their properties on the market, because they feel like the market will “turn around” and they can get a much better price. The end result will be when these millions of homeowners decide to sell at the same time, creating an oversupply of homes on the market, thereby driving prices down.

2. Lenders are currently holding an estimated 600,000 thousand homes in inventory that they have foreclosed on. Why? Simple, they’re waiting for the market to “turn around” so they can get more money for their REO properties! Again, when they market turns, this inventory will be added to the millions of homes from the previous list – homeowners that just want to sell.

3. The staggering number of homes currently in default. This number is estimated at 7 million! These homeowners will be losing their homes to the lenders, who will then add them to their inventory that’s on the market.

How do we fix this? Short sale investors and real estate agents doing short sales will be key to solving this problem. If they can perform enough short sales, and prevent a large portion of these properties from going to foreclosure, they will collectively be able to help prevent a housing market catastrophe.