ARE YOU LURKING IN THE SHADOWS?

Call the FBI, CIA and Homeland Security because someone is lurking in the shadows. Don't do that.  This is not Cloak & Dagger stuff.  It is an opportunity to purchase a home at a different price, a more affordable price. Banks are selling homes or letting the home owner sell for less than what is owed on the mortgage, also known as a Short Sale.  More Affordable.

Shadow Inventory are properties that are 90 days late in mortgage payment, in foreclosure, or Real Estate Owned (REO), also known as Bank Owned. These are properties that have not hit the market yet. A recent report from Standard & Poor's Ratings services shows that the New York Metro area will take approximately 103 months to clear at current liquidation rates. The New York Metropolitan area is part of the 20 Major Statistical Areas in the S&P/Case-Shiller Home Price Index. The research was collected in all 20 (MSAs) and the New York area is your leader in distressed properties. New York, New York. I want to wake up to a city,you get the idea. A number 1. I am not picking on the city, just citing some research data.

Now if you are bored you can read the data: "The Shadow Inventory Of  Troubled Mortgages Could Undo U.S. Housing Price Gains." Feb. 16, 2010, and "Variations In U.S. Shadow Inventories Could Spell Home Price Declines In Some Areas,  Stabilization In Others." June  9, 2010. and updated with "Variations In U.S. Shadow Inventories: City-By-City Data," June 28, 2010.  Hopefully the Groundhog won't see his shadow and keep his hole, lets all pray.

Are you ready to purchase distressed property?  Get out of the shadows?  Only you can answer that.


Mortgage rates dropped to the lowest level. The average 30 year fixed rate was  4.49%  a new low according to Freddie Mac.  Oh ya. Will Freddie Mac become a Shadow? They will talk about that next week on Tuesday with a public conference on the future of the motgage system. You go White House.

Till next time