Bloomberg reports results from the national real estate tracking company, Realty Trac, that show how long term and serious the housing crisis is. Here is a brief quote from the article, Foreclosure Filings Decline in U.S. as Holiday Moratorium Extends Delays, By John Gittelsohn – Dec 15, 2011
“U.S. foreclosure filings fell last month as delinquent homeowners got a holiday break, RealtyTrac Inc. reported.
A total of 224,394 properties received notices of default, auction or repossession, down 14 percent from a year earlier, the Irvine, California-based data seller said today in a report. One in 579 U.S. households got a filing, compared with one in 563 in October, a decline partly the result of a holiday eviction moratorium by mortgage giants Fannie Mae (FNMA) and Freddie Mac (FMCC), said RealtyTrac Chief Executive Officer James J. Saccacio.
The U.S. housing market must digest more than 14 million distressed properties — 1.5 million homes in the foreclosure process, 3.5 million with delinquent mortgages and at least 10 million “underwater” properties, whose owners owe more than the homes are worth — before the foreclosure crisis will subside, according to RealtyTrac.
“The python took a break — the pig is still in there,” Saccacio said in a telephone interview.”
Where all these properties are going is a mystery to me. Word is a significant percentage are being kept off the market by the lenders. How long can that go on?