A lot of information has been swirling out there about how foreclosures are down significantly from a year ago. One could argue this is good news. But a recent look around my neighborhood doesn't seem to bear out the idea that the housing market has significantly mended itself. We seem to have just as many vacant homes and homes not being maintained (an early sign of an impending foreclosure). It appears that the reason foreclosures are down has nothing to do with an improving economy, but that is helping. It more likely caused by banks that have deliberately slowed or stopped foreclosing. The fallout of robo signing and the threat of significant settlements with regulators and former owners that have and are continuing to sue due to fraudulent or incorrect foreclosure paperwork seems to have put a damper on banks foreclosing at breakneck speeds. Many experts in the industry predict that 2012 will see significantly more foreclosures than in 2011, but not nearly as many as 2010. So what does this mean to you, the buyer? Inventory will probably increase as banks resume foreclosing and property values will probably remain suppressed. It is also likely the banks will continue to dole out their properties to avoid flooding certain markets with too much inventory. This is still a great time to be buying. If you are sitting on the sidelines, you may miss the best opportunity of your life to become a homeowner.