RealtyTrac: Foreclosures Drop 15%, Month-Over-Month, In November

Posted by Patrick Barnard on December 12, 2013 No Comments
Categories : Mortgage Servicing

The national foreclosure rate dropped 15% in November, compared to October, and was down 37% compared to November 2012, according to RealtyTrac's monthly U.S. Foreclosure Market Report.

The month-over-month decrease was the biggest since November 2010, when U.S. foreclosure activity plummeted 21% following the revelation of the so-called robo-signing scandal in October 2010, the firm reports.

A total of 113,454 foreclosure filings – including default notices, scheduled auctions and bank repossessions – were recorded this November, according to the report. This compares to 133,919 filings recorded in October.

Foreclosure starts also fell considerably in November. A total of 52,826 properties started the foreclosure process for the first time – down 10% from October and down 32% compared to November 2012.

Foreclosure starts in November reached the lowest level since December 2005, when 49,236 properties started the foreclosure process.

Still, the recovery is spotty: Foreclosure starts increased in 15 states in November, compared to one year ago. States that saw foreclosure filings increase included Pennsylvania (up 233%), Delaware (up 104%), Maryland (up 74%), Oregon (up 38%), and Connecticut (up 37%).

Nationwide, there were a total of 30,461 bank repossessions in November, down 19% compared to October and down 48% compared to November 2012 – the lowest level since July 2007.

Only five states posted year-over-year increases in repossessions: Delaware (up 179 %), Maryland (up 41%), Connecticut (up 9%), Maine (up 6%) and Iowa (up 2%).

Metropolitan areas with the highest foreclosure rates for November included Miami; Tampa, Fla.; Chicago; Riverside-San Bernardino, Calif.; and Baltimore. Only three of the 20 largest metros posted annual increases in foreclosure activity: Baltimore (up 46%); Philadelphia (up 34%); and Washington, D.C. (up 6%).

‘While some of the decrease in November can be attributed to seasonality, the depth and breadth of the decrease provides strong evidence that we are entering the ninth inning of this foreclosure crisis with the outcome all but guaranteed,’ says Daren Blomquist, vice president at RealtyTrac, in a statement. ‘While foreclosures will likely continue to stage a weak rally in certain markets next year as the last of the distress left over from the Great Recession is dealt with, it is highly unlikely that there will be a foreclosure comeback that poses any major threat to the solid housing recovery that has now taken hold.’

Earlier this month, RealtyTrac reported a 61% increase in high-end foreclosures (properties valued more than $5 million) for the month of October, compared to October 2012.

RealtyTrac: Foreclosures Drop 15%, Month-Over-Month, In November

The national foreclosure rate dropped 15% in November, compared to October, and was down 37% compared to November 2012, according to RealtyTrac's monthly U.S. Foreclosure Market Report.

The month-over-month decrease was the biggest since November 2010, when U.S. foreclosure activity plummeted 21% following the revelation of the so-called robo-signing scandal in October 2010, the firm reports.

A total of 113,454 foreclosure filings – including default notices, scheduled auctions and bank repossessions – were recorded this November, according to the report. This compares to 133,919 filings recorded in October.

Foreclosure starts also fell considerably in November. A total of 52,826 properties started the foreclosure process for the first time – down 10% from October and down 32% compared to November 2012.

Foreclosure starts in November reached the lowest level since December 2005, when 49,236 properties started the foreclosure process.

Still, the recovery is spotty: Foreclosure starts increased in 15 states in November, compared to one year ago. States that saw foreclosure filings increase included Pennsylvania (up 233%), Delaware (up 104%), Maryland (up 74%), Oregon (up 38%), and Connecticut (up 37%).

Nationwide, there were a total of 30,461 bank repossessions in November, down 19% compared to October and down 48% compared to November 2012 – the lowest level since July 2007.

Only five states posted year-over-year increases in repossessions: Delaware (up 179 %), Maryland (up 41%), Connecticut (up 9%), Maine (up 6%) and Iowa (up 2%).

Metropolitan areas with the highest foreclosure rates for November included Miami; Tampa, Fla.; Chicago; Riverside-San Bernardino, Calif.; and Baltimore. Only three of the 20 largest metros posted annual increases in foreclosure activity: Baltimore (up 46%); Philadelphia (up 34%); and Washington, D.C. (up 6%).

‘While some of the decrease in November can be attributed to seasonality, the depth and breadth of the decrease provides strong evidence that we are entering the ninth inning of this foreclosure crisis with the outcome all but guaranteed,’ says Daren Blomquist, vice president at RealtyTrac, in a statement. ‘While foreclosures will likely continue to stage a weak rally in certain markets next year as the last of the distress left over from the Great Recession is dealt with, it is highly unlikely that there will be a foreclosure comeback that poses any major threat to the solid housing recovery that has now taken hold.’

Earlier this month, RealtyTrac reported a 61% increase in high-end foreclosures (properties valued more than $5 million) for the month of October, compared to October 2012.

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