CoreLogic: Completed Foreclosures Increased In June

Posted by Patrick Barnard on August 11, 2015 No Comments
Categories : Mortgage Servicing

About 43,000 foreclosures were completed in June – an increase of about 4.8% compared with the approximately 41,000 reported in May but a decrease of about 14.8% compared with the approximately 50,000 recorded in June 2014, according to CoreLogic.

What's more, the number of foreclosures nationwide as of June was down 63.3% compared with the peak of 117,119 completed foreclosures in September 2010, according to the firm's National Foreclosure Report.

Despite the month-over-month increase, the foreclosure rate in June was about the same as it was in December 2007.

As of June, the national foreclosure inventory included approximately 472,000 homes, or about 1.2% of all homes with a mortgage, compared with 664,000 homes, or 1.7%, in June 2014. The foreclosure inventory had decreased by about 28.9% compared with June 2014.

About 1.3 million mortgages, or about 3.5%, were in serious delinquency (90 days or more past due, including those loans in foreclosure or real estate owned) as of June – a decrease of 3.4% compared with May and a decrease of 23.3% compared with June 2014. It was the lowest serious delinquency rate since January 2008, CoreLogic says.

‘The foreclosure rate for the U.S. has dropped to its lowest level since 2007, supported by a continuing decline in loans made before 2009, gains in employment and higher housing prices,’ says Frank Nothaft, chief economist for CoreLogic, in a statement. ‘The decline has not been uniform geographically, as the foreclosure rate varies across metropolitan areas. In the Denver and San Francisco areas, the foreclosure rate has fallen to 0.3 percent, whereas in the Tampa market, the rate is 3.5 percent, and in Nassau and Suffolk counties, it is an elevated 4.8 percent.’

‘Serious delinquency is at the lowest level in seven-and-a-half years, reflecting the benefits of slow but steady improvements in the economy and rising home prices,’ adds Anand Nallathambi, president and CEO of CoreLogic. ‘We are also seeing the positive impact of more stringent underwriting criteria for loans originated since 2009, which has helped to lower the national seriously delinquent rate.’

States with the highest number of completed foreclosures for the 12 months ended in June included Florida (102,000), Michigan (46,000), Texas (33,000), California (29,000) and Ohio (27,000). These five states accounted for almost half of all completed foreclosures nationally.

States that had the lowest number of completed foreclosures included South Dakota (32), the District of Columbia (107), North Dakota (313), Wyoming (499) and West Virginia (566).

States with the highest foreclosure inventory as a percentage of all mortgaged homes included New Jersey (4.7%), New York (3.7%), Florida (2.7%), Hawaii (2.5%) and the District of Columbia (2.4%).

States with the lowest foreclosure inventory included Alaska (0.3%), Minnesota (0.4%), Montana (0.4%), Nebraska (0.4%) and North Dakota (0.4%).

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