Chart from well-written article by Indiviglio in The Atlantic:
This shows rising millions of mortgage defaults. Light blue has been seized by banks but not put on the market. Dark blue is over a year behind in mortgage payments but hasn't been seized and hasn't been put on the market. Yes, about 90,000 homes are sold each month but another 60,000 have to be cleared out of the shadow inventory at the same time to make progress. For monthly sales to reach 150,000, prices will need to fall further in many markets.
|The message is underlined by the Shiller History of Home Prices chart.|
A normal range is below where we are at.
Individual markets vary greatly but the average is shown.
Added: Net worth drops for Black and White Households - Unequally A minus.