Foreclosures Sink to Pre-Boom Low in Latest Month
The number of foreclosure filings fell in June to the lowest level since the Great Recession, according to recent data from RealtyTrac.
Total foreclosure filings dropped to 127,790 last month, down 14 percent from May and 35 percent from June 2012. Filings have not been so low since December 2006.
Initial filings fell in June as well, with 38 states experiencing a monthly decrease and sinking 45 percent compared with a year ago. Bank repossessions fell 9 percent from May and were down on a yearly basis in 34 states. However they rose by double and triple digits in several states including Arkansas with an increase of 143 percent since last year, Oklahoma with a 103 percent jump and Maryland with a74 percent spike.
“Halfway through 2013 it is becoming increasingly evident that while foreclosures are no longer a problem nationally they continue to be a thorn in the side of several state and local markets, particularly where a backlog of delayed distress has built up thanks to a lengthy foreclosure process,” said Daren Blomquist, vice president at RealtyTrac in a statement. “The increases in judicial foreclosure auctions demonstrate that these delayed foreclosure cases are now being moved more quickly through to foreclosure completion. Given the rising home prices in most of these markets, it is an opportune time for lenders to dispose of these distressed properties.”
Bank repossessions are on track to reach a total of 500,000 this year; in 2012 there were roughly 671,000 repossessions.
The states with the highest per capita foreclosure filing rates were Florida, Nevada, Illinois, Ohio and Georgia.
Falling foreclosure rates have been pushing up home prices nationally. As total foreclosure continue to shrink and interest rates remain historically low, a lasting recovery is taking place in the housing market.
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