Hmmm, that is the question of the year. If you ask the banks they say absolutely not. They aren’t “holding” on to inventory.
Maybe they just call it something else. Perhaps they use a term that is not in our vocabulary and therefore they can very easily reply to that question with a clean and simple, “No!”
This is what I do know… if you compare the number of foreclosed properties with the number of foreclosed listings and sales they don’t match. If the homes aren’t on the market they must be, oh here’s that word, “holding” on to them.
The fewer foreclosures our sellers have to compete with the better, but there are more are on the way. When you consider that many of the Making Homes Affordable programs are now defaulting or didn’t happen and the option ARMS that are beginning to reset and we are definitely in for another wave of foreclosures. Bring on the cash buyers! I say just rip the band-aid off and get it over with.