For the past few years we have heard that there is a huge "shadow inventory" of homes that lenders have taken back, or plan to take back, and when the time is right, they will dump them all back on the market. The fear is that when that happens, prices will plummet. But what are the facts? First, in Arizona the serious delinquency rate on mortgages has dropped from a high of 13.2% to a present rate of 2.9%. Prices have gone up 15.2% in the past year, and inventories are at their lowest levels in many years. Granted, rising interest rates and low inventories may hinder buying, but demand remains strong, and outstrips the supply. If you're waiting for the dump of cheap properties into the market, I have one word of advice. Don't! You missed the best prices by over a year, but prices are still better than they will be next year at this time.