Foreclosures Inventory Continues To Decline

From Foreclusre Radar:

"June  2012 Foreclosure Sales were significantly down in the three largest foreclosure states in our coverage area. California Foreclosure Sales were down 13.4 percent over last month, and down 48.8 percent vs. June 2011.  Arizona Foreclosure  Sales were down 18.5 percent over last month, and down 42.1 percent vs. June 2011.  Nevada Foreclosure Sales were down 14.6 percent over last month, and down 72.1 percent vs. June 2011 driven by the new regulation that took effect in October 2011.

In addition, Foreclosure Filings are flat to down in all states in our coverage area, both on a month over month basis and vs. previous year.  Arizona Notice of Sales were down 27.7 percent over last month, Nevada Notice of Defaults were down 22.7 percent over last month, and California Notice of Defaults were basically flat, being down 0.9 percent over last month.

 We already have significantly low home sales in the market today, and with the declining level of Foreclosure Sales the inventory will continue to decrease. In California, banks take on average 272 days to resell properties they take back at auction, thus, realtors, investors, and homebuyers should brace themselves for significantly less inventory in next years' selling season."

What this article does not tell us is how many homes that banks are holding on to now as REO's will be placed on the market next year.

What do you think?