According to “Q1 2010 National Delinquency Survey” from the Mortgage Bankers Association, there is a “shadow inventory” of 4.3 million loans that need to worked through (90 day delinquent or in foreclosure) or they will become REOs or distressed sales.
The inventory of homes in foreclosure and short sales that are on the market in Orange County, Calif., has grown by 29% so far this year.
Residential foreclosures could top 1.23 million units this year, according to figures compiled by CoreLogic, Los Altos, Calif. In the first quarter 309,194 homes went into foreclosure, the company found, a 17% jump from the same period last year. In 2009 1.16 million homes went into foreclosure, a record. Meanwhile, figures CoreLogic calculated for The New York Times suggest that more than one in seven homeowners with loans in excess of a million dollars is seriously delinquent. The newspaper reported, “Though it is hard to prove, the CoreLogic data suggest that many of the well-to-do are purposely dumping their financially draining properties, just as they would any sour investment.”