According to a recent study by the National Association of Realtors (NAR) Arizona has 9 months of shadow inventory which is 60,285 properties.
The term 'Shadow Inventory' is referring to properties that are in default but haven't received a notice of foreclosure yet. Officially, these properties are not 'in foreclosure' but they are on their way. This shadow inventory has made it very difficult to project how big this foreclosure problem really is. This article does an excellent job calculating what each state's shadow inventory is and how long it will take to get through it.
It particularly surprises me that the East Coast is leading in the shadow inventory numbers. New Jersey leads the pack with over 51 months of shadow inventory. Equally surprising is that Nevada is amongst the lowest at 7 months. States like Nevada have significantly higher numbers of shadow inventory but they can get through it quicker because of their sales volume.
For more information, click on the full article below or contact us!
http://economistsoutlook.blogs.realtor.org/2011/03/21/state-by-state-estimate-of-shadow-inventory/
Thanks,
Casey Block
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