Foreclosure and Shadow Inventory on Maui

In 2010, the Hawaii State Legislature amended the State’s Foreclosure laws requiring attorneys representing the lender in a foreclosure case to â€œaffirmâ€ that their filing was accurate. This effectively ended most foreclosures.

That was probably a good thing, because it gave the inventory a chance to shrink to the point that the foreclosures which have once again started hitting the market are easily absorbed by the pent up demand.

If you were fearful that a slew of foreclosures was going to cause the market to tank, you should get that thought out of your head. The 300 or so estimated properties that are still to be foreclosed on will easily be absorbed over the next 2 years as they work their way through the courts and on to the market.

With interest rates rising, it is time to act now, before prices and interest rates both go higher.

Aloha,

Ken