Here is a report that supports my argument and shows that not only does SD have a BIG shadow inventory problem…… it is in fact the second worse market in the country for shadow overhang.
Exhibit 4: Number of Real Estate Listings within 10 Miles of S&P/CS 20 Cities
1st line = CITY
2nd line = LISTINGS REO
3rd line = LISTINGS AUCTION
4th = NOTICE OF DEFAULT
5th = Total Shadow Inventory
6th line = Total Inventory
7th = Inventory ÷ Actual Listings
Las Vegas, NV
16,765
16,835
14,879
21,135
52,849
69,614
415.2%
San Diego, CA
10,416
5,603
7,727
11,548
24,878
35,294
338.8%
Los Angeles, CA
43,050
16,706
26,789
37,894
81,389
124,439
289.1%
San Francisco, CA
4,176
1,856
2,265
3,355
7,476
11,652
279.0%
Phoenix, AZ
25,340
14,091
30,777
0
44,868
70,208
277.1%
Denver, CO
17,730
3,020
10,867
1
13,888
31,618
178.3%
Detroit, MI
21,396
10,720
5,202
1
15,923
37,319
174.4%
Tampa, FL
24,235
1,198
1,388
13,712
16,298
40,533
167.2%
Minneapolis, MN
8,533
2,296
3,420
0
5,716
14,249
167.0%
Portland, OR
12,673
2,130
5,976
0
8,106
20,779
164.0%
Chicago, IL
42,698
1,317
7,808
16,787
25,912
68,610
160.7%
Miami, FL
35,489
2,373
4,499
12,808
19,680
55,169
155.5%
Atlanta, GA
28,638
6,692
7,883
1
14,576
43,214
150.9%
It is yet another report that makes no mention of this fantasy of seconds playing even a tiny role in the shadow market. Because 2nds do not, and it’s such a dumb theory that no one else dares suggest it.
