
There is no commonly accepted definition of shadow inventory. This creates a great deal of confusion, and as a result, many casual observers dismiss it as an unreal bogeyman. It's out of sight, so it's out of mind. CoreLogic has the most widely accepted definition of shadow inventory, but it's wrong, and their numbers under report the actual figures. CoreLogic, counts visible bank-owned inventory and borrowers who have been served notice. These properties are visible, and although they may not be on the MLS yet, they are not hiding in the shadows. The real shadow inventory is the total number of delinquent mortgage holders who haven't been served notice. These people aren't picked up on any foreclosure reports because they…[READ MORE]