The number of homes that are seriously delinquent or in foreclosure, but not listed for sale, fell to 1.8 million units, from 2.0 million a year ago. Of that shadow inventory, or pending supply, 870,000 units are seriously delinquent, 445,000 are in some stage of foreclosure, and 470,000 have already been seized by lenders in foreclosure proceedings, according to estimates from CoreLogic. Mark Fleming, CoreLogic’s chief economist, said, though the trend is improving, levels remain high. At the current sales pace, the shadow inventory represents a nine-month supply. More here and here.