Posted on Tuesday, December 29, 2009
An estimated 7 million housing units are said to be lurking in the shadows as lenders hold off on selling until prices increase, foreclosurees are delayed for a variety of reasons and investors buying distrseed properties with the intent of eventually reselling also wait to resell. All this as more forec;osures are expected. For every loan that improves with a modification, three more enter default. Thats a year over year increase of almost 90 percent.
The upside? Lenders have also scaled back on their own bidding at their own foreclosure sales - they don't want to own more properties - meaning investors may be able to pick up more units at better prices in 2010.