Sep 21, 2011
Big drop in banks’ REO holdings
21 Sep 2011
Posted by Andrew Kantor
Banks held 17 percent fewer repossessed homes at the end of July compared to just 10 months earlier, according to a report from Barclays Capital.
At the time (granted, it was more than six weeks ago), banks owned about 476,000 homes. In September 2010 that number was 574,000. (That’s in case you don’t trust us to do the math.)
But there’s a rumblin’ coming down the road: Something like 1.9 million homes are in the foreclosure process (but not yet on the banks’ books), and another 1.6 million* are at least 90 days delinquent (but not yet in foreclosure).
* LPS puts that number at 1.9 million at the end of August; so either the two companies’ methodologies differ, or 300,000 more homeowners hit that 90-day-delinquent mark.