Fact is there are no prescribed time periods for either scenario. Because of this arbitrary manner in which homes become official statistics, there’s a chunk of homes that miss the radar screen of economists.
This “hidden inventory,” as it is known, is the subject of much debate.
Are banks holding back properties to keep prices stabilized in order to minimize loss on bank-owned sales?
Is incompetence coupled with an overwhelming number of foreclosures causing delays in homes hitting the market, skewering the actual real estate picture?
Read more from the Contra Costa Times
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Wow if this is true thats crazy, but at the same time completely believable. Most banks nowadays are in pretty bad shape financially from what I understand. If they are doing it, its probably a last ditch way to keep themselves afloat…