Foreclosure "shadow inventory"
Some of you have wondered how many foreclosed homes are on the sidelines of the housing market, neither for sale nor in the process of being sold. Lender Processing Services, a mortgage-industry services provider that tracks nearly 45 million loans across the country, says the answer is nearly 30 percent ... of properties in foreclosure for 12 months.
That's "twice the level of the prior year," the firm noted this week in a report looking at data through the end of October.
On top of that, Lender Processing Services said, mortgage holders haven't started foreclosure proceedings on almost 30 percent of loans with at least six missed payments. Two years ago, it was 13 percent. (The Mortgage Bankers Association, seeing similar trends, said lenders are trying to work out modifications with borrowers.)
Nearly 13 percent of loans in Maryland were either delinquent or in the foreclosure inventory in October, according to Lender Processing Services. That's 14th highest in the nation.
I asked recently how rising delinquencies and foreclosures are affecting you. Here's what you said (keeping in mind that it was a "choose any that apply" poll):
My home has lost value because of short sales and foreclosures: 26 people
My tax dollars have been spent trying to stem the tide: 18 people
I have family and/or friends who are behind or in foreclosure: 14 people
It hasn't affected me at all: 11 people
I'm trying to buy a short sale or foreclosure: 9 people
I'm part of the wave -- I'm behind on my payments: 4 people
I'm part of the wave -- I lost my home: 3 people
I bought a short sale or foreclosure: 3 people
And one write-in: "I didn't get a bonus because of public perception."