Shadow inventory stepping into the light

Perspective: Real estate's September report card

The loan modification programs were certainly successful in delaying the inevitable — foreclosure. As shown in the chart below, there are now approximately 2.5 million foreclosures in process, and another 2.5 million mortgages that are 90+ days delinquent. These numbers will trend down, while REO (currently 562,000 bank-owned homes) and short sales will trend up.