[quote=bearishgurl][quote=FormerSanDiegan]…If you completely ignore shadow inventory and simply look at prices, inventory and fundamentals I think you are better off.[/quote]
I think we’re all trying to do this, FSD, but the drag of “shadow inventory” (that shouldn’t even be there at this late date) is insidiously artificially undervaluing many markets by trickling out below market short-sale closings. It is THESE closings that are ruining the comps for those homeowners who “played by the rules.”
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As far as I know there is no way to know or measure the “drag” of shadow inventory and whether iit is artificially undervaluing anything (insidiously or otherwise).
However, if the presence of short sales does impact the market that at least has a chance to be measurable.
