“Shadow housing inventory” not yet a factor in Sacramento

We hear a lot of warnings about the flood of foreclosures that will occur once banks unload their “shadow inventory” of homes.  But after months of these warnings, some real estate observers in Sacramento are beginning to express doubts that the flood of foreclosures will ever materialize:

People who watch housing prices have predicted for months that another deluge of foreclosed homes would soon hit the market – once again crushing Sacramento-area property values. But the flood of bank repos hasn’t materialized. And now, a leading California foreclosure analyst says it probably won’t. “From the things I’m seeing, there’s not going to be a wave any time soon,” said Sean O’Toole, president of ForeclosureRadar, a Contra Costa County firm that tracks mortgage defaults and foreclosures.

The article goes on to say that bidding wars have become common in Sacramento.

Advertisements

3 Comments on ““Shadow housing inventory” not yet a factor in Sacramento”

  1. […] Inflation Watch Watching for inflation, because the Fed and CPI won't. « “Shadow housing inventory” stays in the shadows in Sacramento […]

  2. […] little empirical evidence to support the notion that a tidal wave of foreclosures is about to hit. “From the things I’m seeing, there’s not going to be a wave [of foreclosures] any time soo… says Sean O’Toole, president of ForeclosureRadar.  At least one major lender has dramatically […]

  3. […] Where is it? Not in Orange County, evidently. Not in Las Vegas.  Not in Bakersfield, Calif. Not in Sacramento either. Possibly related posts: (automatically generated)Barry Ritholtz: home prices “not […]


Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s