WASHINGTON (MNI) – The following is the text of the RealtyTrac
April report on U.S. foreclosure activity published Thursday:
RealtyTrac (www.realtytrac.com), the leading online marketplace for
foreclosure properties, today released its U.S. Foreclosure Market
Report for April 2012, which shows foreclosure filings – default
notices, scheduled auctions and bank repossessions – were reported on
188,780 U.S. properties in April, the lowest monthly total since July
2007.
April foreclosure activity decreased 5 percent from the previous
month and was down 14 percent from April 2011. One in every 698 U.S.
housing units had a foreclosure filing during the month.
“Rising foreclosure activity in many state and local markets in
April was masked at the national level by sizable decreases in hard-hit
foreclosure states like California, Arizona and Nevada,” said Brandon
Moore, CEO of RealtyTrac. “Those three states, and several other
non-judicial foreclosure states like them, more efficiently processed
foreclosures last year, resulting in fewer catch-up foreclosures this
year.
“In addition, more distressed loans are being diverted into short
sales rather than becoming completed foreclosures,” Moore continued.
“Our preliminary first quarter sales data shows that pre-foreclosure
sales – typically short sales – are on pace to outnumber sales of
bank-owned properties during the quarter in California, Arizona and 10
other states.”
Non-judicial foreclosure activity down, judicial foreclosure
activity up
Combined foreclosure activity in the 24 states with a non-judicial
foreclosure process and the District of Columbia decreased 7 percent
from the previous month and was down 29 percent from April 2011. More
populous states like Arizona, California and Nevada drove the overall
decreases in non-judicial foreclosure activity, but 14 of the 24 states
and the District of Columbia posted month-over-month increases in
foreclosure activity. Still, only seven of the non-judicial foreclosure
states posted annual increases, including Georgia, Tennessee and
Minnesota.
Combined foreclosure activity in the 26 states with a judicial
foreclosure process decreased 3 percent from the previous month but was
still up 15 percent from April 2011. Foreclosure activity decreased on a
month-over-month basis in 14 of the judicial foreclosure states but
increased on a year-over-year basis in 15 of the judicial foreclosure
states.
Foreclosure starts down nationwide, but up in more than half of
states
After three straight monthly increases, U.S. foreclosure starts –
default notices or scheduled foreclosure auctions, depending on the
state – decreased 4 percent from March to April. A total of 97,665
properties started the foreclosure process for the first time during the
month, down 2 percent from April 2011.
Despite the overall decrease in foreclosure starts, 26 states
posted monthly increases in foreclosure starts, and 27 states posted
year-over-year increases in foreclosure starts. States with the biggest
annual increases in foreclosure starts included New Jersey (180
percent), Utah (179 percent), Indiana (49 percent), Pennsylvania (44
percent), Florida (43 percent), and Michigan (42 percent).
Bank repossessions decrease for third straight month
Bank repossessions (REOs) decreased on a monthly basis for the
third straight month in April, down 7 percent from March. Lenders
completed the foreclosure process on 51,415 U.S. properties during the
month, down 26 percent from April 2011 – the 18th consecutive month with
a year-over-year decrease in REOs.
REO activity decreased on an annual basis in 37 states and the
District of Columbia, while 28 states posted monthly drops in
foreclosure activity. States with the biggest year-over-year decreases
in REO activity included Nevada (71 percent), Arizona (70 percent),
Washington (67 percent), California (52 percent), Virginia (47 percent),
and Maryland (47 percent).
11 of 20 largest metros post annual increases in foreclosure
activity
Eleven of the nation’s 20 largest metro areas based on population
documented annual increases in foreclosure activity, led by the Florida
cities of Tampa (59 percent) and Miami (38 percent). Other cities with
increases included St. Louis (29 percent), Chicago (26 percent),
Philadelphia (24 percent), and Atlanta (21 percent).
Among the 20 largest metros areas, cities posting the biggest
annual drops in foreclosure activity included Seattle (54 percent),
Phoenix (44 percent), San Francisco (34 percent), Washington, D.C. (30
percent), Riverside-San Bernardino, Calif., (30 percent), and Los
Angeles (28 percent).
The metro areas with the highest foreclosure rates among the 20
largest were Riverside-San Bernardino (one in every 213 housing units
with a foreclosure filing), Miami (one in every 273 housing units),
Atlanta (one in every 298 housing units), Phoenix (one in every 313
housing units), and Tampa (one in every 315 housing units).
The 11 cities with annual increases in foreclosure activity were
all in the Midwest, South or on the East Coast, while six of the nine
cities with annual decreases were in the western states of California,
Arizona and Washington.
Nevada, California, Florida post top state foreclosure rates
A 15 percent month-over-month increase in foreclosure starts helped
Nevada post the nation’s highest state foreclosure rate in April: one in
every 300 housing units with a foreclosure filing. Despite the monthly
increase in foreclosure starts, overall Nevada foreclosure activity
decreased 67 percent from April 2011.
California foreclosure activity decreased 30 percent from April
2011, but the state still posted the nation’s second highest foreclosure
rate: one in every 351 housing units with a foreclosure filing.
Florida foreclosure activity increased 26 percent from April 2011,
boosting the state’s foreclosure rate to third highest in the nation.
One in every 364 Florida housing units had a foreclosure filing during
the month.
The top 10 foreclosure rates among metropolitan statistical areas
with a population of 200,000 or more were all in Nevada, California and
Florida. Stockton, Calif., led the way, with one in every 213 housing
units with a foreclosure filing during the month. Seven other California
cities had foreclosure rates in the top 10, along with Las Vegas at No.
7 and Miami at No. 9.
A 44 percent year-over-year decrease in foreclosure activity
dropped Arizona’s foreclosure rate – one in every 377 housing units with
a foreclosure filing – to fourth highest among the states, while a 21
percent year-over-year increase in foreclosure activity helped Georgia
maintain the nation’s fifth highest state foreclosure rate – one in
every 398 housing units with a foreclosure filing.
Other states with foreclosure rates ranking among the top 10 were
Illinois (one in 418 housing units with a foreclosure filing), Utah (one
in 419), Michigan (one in 487), Ohio (one in 525), and Wisconsin (one in
547).
** MNI Washington Bureau: 202-371-2121 **
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