CoreLogic: Foreclosure Inventory Down Nearly 25% Compared To April 2014

Posted by Patrick Barnard on June 09, 2015 No Comments
Categories : Mortgage Servicing

There were about 40,000 completed foreclosures nationwide in April, down 1.1% from about 40,000 in March and down nearly 20% from about 50,000 in April 2014, according to CoreLogic's National Foreclosure Report.

As of April, completed foreclosures had decreased about 65.8% from the peak of completed foreclosures in September 2010, according to CoreLogic's data.

Due to a general lack of inventory and pent up demand from buyers, the foreclosure inventory, as of April, stood at approximately 521,000 homes, or 1.4% of all homes with a mortgage, compared with 694,000 homes, or 1.8%, in April 2014. That's down nearly 25% compared to April 2014.

In addition, the number of mortgages in serious delinquency (90-plus days past due, including those loans in foreclosure or REO) stood at 1.4 million, or 3.6% of all properties with a mortgage, a decrease of 3% compared to March and a decrease of 22.1% compared to April 2014. It was the lowest serious delinquency rate since February 2008, CoreLogic reports.

‘By mid-2011, after the Great Recession and at the trough of the house-price collapse, more than 1.5 million homes were in the foreclosure pipeline,’ says Frank Nothaft, chief economist for CoreLogic, in a release. ‘Employment recovery, foreclosure alternatives, and home-value gains have worked to reduce this inventory. At CoreLogic, we found that April's foreclosure inventory was down 25 percent from a year ago, falling to one-third the mid-2011 level.’

‘Despite a slow and steady improvement in most housing market fundamentals, too many families remain in default of their mortgage obligations,’ adds Anand Nallathambi, president and CEO of CoreLogic. ‘The percent of homeowners with a mortgage that have missed three-or-more monthly payments or are in foreclosure proceedings dropped to 3.6 percent in our April data; while well below the record peak of nearly 9 percent and the lowest in more than seven years, it remains about double the pre-2007 rate.’

States that had highest number of completed foreclosures, year over year, in April were Florida (106,000), Michigan (49,000), Texas (33,000), Ohio (28,000) and Georgia (27,000). These five states accounted for almost half of all completed foreclosures nationally.

States that had the lowest number of completed foreclosures for the 12 months ended in April included South Dakota (20), the District of Columbia (95), North Dakota (318), West Virginia (475) and Wyoming (498).

States with the highest foreclosure inventory as a percentage of all mortgaged homes in April were New Jersey (5.1%), New York (3.8%), Florida (3.1%), Hawaii (2.6%) and the District of Columbia (2.5%).

States that had the lowest foreclosure inventory as a percentage of all mortgaged homes were Alaska (0.3%), Nebraska (0.4%), North Dakota (0.4%), Colorado (0.4%) and Minnesota (0.5%).

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