SHADOW INVENTORY, A SCARY SHADOW!
The worst kept secret in the real estate industry is the amount of time a delinquent (defaulting) homeowner can live in theirhome without making a payment.No hard numbers are known but estimates are that close to 10,000,000 defaulting owners are living in homes that they are not paying a dime for.Wall Street Journal published a state by state graph showing the average time that borrowers spend in their homes during delinquency and foreclosure: See Graph Here.Here are the states with the highest number of ‘living free’ days:500-600 days: Florida and New York and others400-500 days: California, Nevada, Washington State, Texas, Ohio, Indiana and many others..200-400 days: The rest of the country.Bottom line, the most amount of time someone can live payment free…600+ days. The LEAST amount of time is nearly a year.