The number of homeowners who lost their properties to foreclosure jumped 9% in July as lenders moved to repossess a glut of homes with past-due mortgages.
A total of 92,858 homes were repossessed in July, according to foreclosure listing firm RealtyTrac. That's 9% higher than in June and 6% higher than the figure for July 2009. July was the eighth straight month to post a year-on-year rise in homes lost to foreclosure.
And foreclosure filings, a category that includes default notices, scheduled actions and bank repossessions, hit 325,229 in July. That's a 4% increase from June, but notably, it's a 10% drop from July 2009.
"July marked the 17th consecutive month with a foreclosure activity total exceeding 300,000," said James J. Saccacio, CEO of RealtyTrac. "Declines in new default notices, which were down on a year-over-year basis for the sixth straight month in July, have been offset by near-record levels of bank repossessions."
Nevada had the highest foreclosure rate among all states, with one in every 82 households receiving a foreclosure filing.
California had the highest percentage of the total foreclosures filings, accounting for 21% of the nation's filings.
From Jeff Horwitz and Kate Berry at American Banker: Procrastination on Foreclosures, Now 'Blatant,' May Backfire
ervicers are not initiating or processing foreclosures at the pace they could be.There is much more in the article.
By postponing the date at which they lock in losses, banks and other investors positioned themselves to benefit from the slow mending of the real estate market. But now industry executives are questioning whether delaying foreclosures — a strategy contrary to the industry adage that "the first loss is the best loss" — is about to backfire. With home prices expected to fall as much as 10% further, the refusal to foreclose quickly on and sell distressed homes at inventory-clearing prices may be contributing to the stall of the overall market seen in July sales data.
...
Banks have filed fewer notices of default so far this year in California ... than they did 2009 or 2008, according to data gathered by . Foreclosure default notices are now at their lowest level since the second quarter of 2007, when the percentage of seriously delinquent loans in the state was one-sixth what it is now.
New data from LPS Applied Analytics in Jacksonville, Fla., suggests that the backlog is no longer worsening nationally — but foreclosures are not at the levels needed to clear existing inventory.
...
"The industry as a whole got into a panic mode and was worried about all these loans going into foreclosure and driving prices down, so they got all these programs, started Hamp and internal mods and short sales," said John Marecki, vice president of East Coast foreclosure operations for Prommis Solutions ... "Now they're looking at this, how they held off and they're getting to the point where maybe they made a mistake in that realm."
...
"The math doesn't bode well for what is ultimately going to occur on the real estate market," said Herb Blecher, a vice president at LPS. "You start asking yourself the question when you look at these numbers whether we are fixing the problem or delaying the inevitable."
Note: The LPS delinquency data for July will be released tomorrow. Here are some of the findings (no link):
• July showed an astounding 24.5% month-over-month increase in foreclosure starts, which dovetails with Treasury's latest report on HAMP cancellations (approx. 50% according to Treasury's numbers)The report shows the GSEs are stepping up foreclosures.
• Abysmal foreclosure rates in NV, FL and CA have led to much higher level equity loss for homeowners in those states as compared to the rest of the country.
• Cure rates remain steady, but seriously delinquent (6 mos.+) cures have declined significantly, by approximately 25%
• Origination remains depressed due to much stricter underwriting guidelines and low purchase activity, but what is being originated is of good quality.
• Until the deterioration ratio improves from its steady two deteriorations for every one improvement, it's hard to see how we're going to get out of the hole.
eric seiger
Defining Normal In The Brain - Science <b>News</b>
Scans set standard for how connectivity evolves during maturation.
Z on TV: Fox <b>News</b> says it will not cover burning of Quran - TV <b>...</b>
Gentlemen: While I often find myself at odds with the opinions of your news network, I applaud your decision not to cover the Koran burning insanity. You are starving the attention-craving beast, precisely as necessary. Congratulations! ...
Finally! <b>News</b> on When We'll See Terrence Malick's 'Tree of Life <b>...</b>
What's the best way to get an auteur to finish his long-awaited film? A deadline, of course! Everyone needs 'em, even (or especially) Terrence Malick,
No comments:
Post a Comment