Morningstar Credit Ratings LLC said today that distressed real estate properties are being liquidated at a slower rate than a year ago.

The inventory of distressed properties has dropped 19 percent over the year, and liquidations have declined by 14 percent.

The firm estimated that it will take another 40 months to clear the national inventory of distressed properties.

Morningstar also found that short sales made up a higher percentage of liquidations over the year.
Click here to read the full report.