Word on the street is that while Notices of Default may be on the rise - that does not mean you should expect a rise in REO's.
1) Lenders are starting to finally figure out that Short Sales can save them time and money vs. REO's.
2) In areas outside of the City of San Francisco where an investor might buy REO's in bulk from a bank - the public may not see any evidence in a rise in REO's because they are turned around and placed on the market NOT as REO's because they aren't anymore.
Similar to yesterday's post - one of the conclusions is that there's more than meets the eye when trying to read the market.
sent from a BlackBerry