9.1 C
New York
Sunday, November 27, 2022

Subscribe

Q3 Foreclosure Activity Increases 5% in Q3, Highest Ever Recorded By RealtyTrac

Courtesy of Tyler Durden

No matter how you slice or dice it, the housing market is bad and keeps on being bad. As reported today by RealtyTrac, foreclosure activity in the third quarter saw “one in every 136 U.S. housing units received a foreclosure filing during the quarter: the highest quarterly foreclosure rate since RealtyTrac began issuing its report in the first quarter of 2005.” “Housing rebound” – meet facts.

RealtyTrac® (www.realtytrac.com), the leading online marketplace for foreclosure properties, today released its U.S. Foreclosure Market Report™ for Q3 2009, which shows that foreclosure filings — default notices, scheduled auctions and bank repossessions — were reported on 937,840 properties in the third quarter, a 5 percent increase from the previous quarter and an increase of nearly 23 percent from Q3 2008. One in every 136 U.S. housing units received a foreclosure filing during the quarter — the highest quarterly foreclosure rate since RealtyTrac began issuing its report in the first quarter of 2005.

Foreclosure filings were reported on 343,638 properties in September, a 4 percent decrease from the previous month but a 29 percent increase from September 2008. Despite the monthly decrease, September’s total was still the third highest monthly total since the RealtyTrac report began in January 2005, behind only July and August of this year.

“Bank repossessions, or REOs, jumped 21 percent from the second quarter to the third quarter, corresponding to jumps in defaults and scheduled auctions in the previous two quarters,” said James J. Saccacio, chief executive officer of RealtyTrac. “REO activity increased from the previous quarter in all but two states and the District of Columbia, indicating that lenders may be starting to work through some of the pent-up foreclosure inventory caused by legislative delays, loan modification efforts and high volumes of distressed properties.

If indeed the limitation on REO activity is coming to an end, look for foreclosed inventory to start hitting the market in earnest, thus keeping the onus on the Fed to preserve mortgage rates as low as possible (read a QE extension is virtually guaranteed) as every sub 5% new and refi loan will be milked to the maximum by all those who believe it is their sworn duty to reflate the housing bubble.

As for where the pain continues to be greatest: no surprise as the usual suspects rear their post-last bubble head: California, Florida, Arizona, Nevada, Illinois and Michigan.

California, Florida, Arizona, Nevada, Illinois and Michigan accounted for 62 percent of the nation’s total foreclosure activity in the third quarter, with 579,541 properties receiving foreclosure filings in the six states combined.

With 250,054 properties receiving foreclosure filings during the quarter, California accounted for nearly 27 percent of the nation’s total. The state’s foreclosure activity decreased nearly 2 percent from the previous quarter thanks to a 10 percent drop in default notices, but scheduled auctions increased 4 percent from the previous quarter and REOs increased 12 percent from the previous quarter.

Florida foreclosure activity decreased less than 1 percent from the previous quarter, but the state still posted the second highest foreclosure activity total for the third quarter. Foreclosure filings were reported on 156,924 Florida properties, a 23 percent increase from Q3 2008. Default notices in Florida decreased 6 percent from the previous quarter while scheduled auctions increased 5 percent from the previous quarter and REOs increased 16 percent from the previous quarter.

Arizona posted the nation’s third highest foreclosure activity total in the third quarter, with 50,342 properties receiving a foreclosure filing during the quarter — a 5 percent increase from the previous quarter and a 25 percent increase from Q3 2008.

Nevada posted the nation’s fourth highest foreclosure activity total, with 47,925 properties receiving a foreclosure filing in the third quarter, followed by Illinois, with 37,270 properties receiving a foreclosure filing, and Michigan, with 37,026 properties receiving a foreclosure filing. All three states reported increasing foreclosure activity from the previous quarter and from Q3 2008.

Other states with foreclosure activity totals among the nation’s 10 highest were Georgia (33,385), Texas (29,838), Ohio (29,645), and New Jersey (18,108).

 

Subscribe
Notify of
0 Comments
Inline Feedbacks
View all comments

Stay Connected

159,645FansLike
407,724FollowersFollow
2,130SubscribersSubscribe

Latest Articles

0
Would love your thoughts, please comment.x
()
x