Direxion Daily Financial Bear 3X Shares (FAZ)

[greyghost]

"the increase in inventory is somewhat worrisome, and supports our thesis that any stabilization in sales or prices will bring out more "SHADOW INVENTORY"....this is the hidden gem....many foreclosed houses are briefly put on the market and then yanked when not sold quickly, only to have the same house put on the market a few months later and again yanked when it does not sell quickly...this is repeated over and over in calif. where i live and i live in a fairly upscale city....many of the surrounding cities are in alot worst shape.
imo, the banks know they can't put all these homes on the market all at the same time, for the market would collapse overnight. all i can think is that the banks have HUGE amounts of home inventory they are sitting on and slowing writing off and slowly releasing foreclosures into the market place. some peoples out there are saying years until a recovery due to this extreme overhang....i think they may be correct