Weak Demand for Housing Portends Further Declines in Values

The "shadow" inventory of homes that could reach market increased to 2.1 million units in August, an 11% jump from the same period a year ago, according to new figures provided by CoreLogic, Santa Ana.

Citing the increase in troubled inventory, CL economist Mark Fleming warned that the "weak demand" for housing nationwide is "significantly increasing the risk of further price declines in the housing market."

...

Based on the current sales pace, that means the inventory can last 23 months. In a normal housing market, six to seven months supply is considered normal.