According to RealtyTrac, REO's are dwindling in many parts of the country even as Foreclosure activity is higher than ever. There seems to be less homes on the market causing price to rise ever so slightly in many markets. A nice parlor trick being perpetrated on the American public and real estate agents around the country.
There have been many news reports and blog posts being published that are giving many people false hope as to the crisis being over or close to being over. It seems clear now, that we are not anywhere near the bottom or close to a recovery.
Lenders are holding onto the Foreclosed properties and not necessarily putting them back onto the market in any speedy fashion. This also explains the "stalling" of Short Sale approvals as they are trying to control and manipulate the amount of inventory and try to stabilize prices.
Well, the problem with that is that this crisis will take much, much longer to work it's way through the system and prices will be stagnant, at best. It is also taking millions of people lives for granted. The Lenders are not trying to fix the problem or assist the very system they single-handedly brought to it's knees.
Why is no one taking these Lenders to task?
Why are they not being forced to help the people they've hurt?
Oh! I know, we are supposed to let the free market system work....
Well, is it working?