Shadow inventory refers to distressed and foreclosed properties that have not yet been listed for sale. These properties have long been discussed by analysts and experts who believe that they’d have a negative impact on housing once they hit the market. Fortunately, new data from CoreLogic shows that, as of this past July, the shadow inventory reached its lowest level since August 2008. Anand Nallathambi, CoreLogic’s chief executive, said the value of the U.S. shadow inventory has dropped by $87 billion over the past year and has steadily declined for 10 consecutive months. In fact, July’s estimates show a year-over-year drop of 22 percent in the number of homes thought to be included in the shadow inventory. That’s a 38 percent improvement from its peak in 2010. More here.