For Every Two Homes for Sale, There's One in the Shadows

The number of distressed properties not currently listed for sale on multiple listing services (MLSs) stood at 1.6 million as of October 2011, according to Corelogic. Yesterday's chart showed the shadow inventory broken down by state with NY & NJ carrying 50+ months of shadow inventory http://actvra.in/q4C

A healthy housing market should have less than one-month’s supply of shadow inventory, which would be an easily absorbed batch  of distressed assets with little or no discernable impact on house prices, unless the inventory was geographically concentrated.

According to CoreLogic reports Currently, Florida, California, and Illinois account for more than a third of the shadow inventory, . The top six states, which would also include New York, Texas, and New Jersey, are home to half of the shadow inventory.

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http://www.dsnews.com/articles/for-every-two-homes-sale-there-is-one-in-shadows-2011-12-21