Foreclosure Activity Is Up for the First Time in Months

a home foreclosure document on...
ShutterstockForeclosure activity, which includes foreclosure notices, scheduled auctions and bank repossessions, was still 16 percent below the year-ago level.
By Elvina Nawaguna

Foreclosure activity across the United States jumped in July for the first time in four months as lenders scheduled more properties for auction, an industry report said on Thursday. RealtyTrac, which compiles housing market data, said 109,434 properties across the country were in some stage of the foreclosure process, marking a 2 percent increase from June. Despite the rise, foreclosure activity, which includes foreclosure notices, scheduled auctions and bank repossessions, was 16 percent below the year-ago level. It was the 46th consecutive month in which activity declined on an annual basis.

"It is not uncommon to see month-to-month fluctuations that are not indicative of the long-term trend; that is most likely the case with July numbers," RealtyTrac Vice President Daren Blomquist

"The biggest causes for concern when it comes to foreclosure at this point are at the state and local level...."

told Reuters. "If we see a string of four to six months of monthly increases, that will certainly be cause for concern, but we're not there yet."

Decreasing foreclosure activity has helped undercut the supply of properties on the market, pushing prices up and slowing sales. Rising mortgage rates have also helped slow the housing recovery to a crawl. Lenders reclaimed 25,937 properties in July, down 4 percent from June and 30 percent below the year-ago level.

A total of 51,595 properties were set for foreclosure auctions last month, a 10 percent rise from June but still 3 percent below last year's levels. Lenders started the foreclosure process on 49,624 properties in July, up 5 percent from the prior month, but down 18 percent from the same time last year. For the tenth straight month, Florida had the nation's highest foreclosure rate, followed by Maryland, Nevada and Illinois.

"After nearly four years of falling foreclosures, we are starting to see evidence that foreclosure numbers are normalizing at the national level," said Blomquist.

"The biggest causes for concern when it comes to foreclosure at this point are at the state and local level, in places like New York, New Jersey and Maryland, where foreclosure activity continued a nearly two-year trend higher in July, and in places like Southern California, where we saw annual increases in foreclosure activity following nearly three years of decreases."

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larry

What a farce. During the "recession" I saw many forclosures and "short sales" in my neighborhood that took advantage of the government. People walked away from their mortgage. I saw homeowners that "duped" the taxpayers. Many irresponsible home owners walked away from their mortgage responsibilities but still were willing to pay $160 a month for a cell phone bill, $680 for a car lease, $230 for expensive gym memberships, $120 a month for Starbucks coffee, and frivilous other expenses they decided to keep while defrauding their duties and walking away from their mortgage. And we wonder why we have a 17 trillion dollar national debt ??? Really ???

August 18 2014 at 5:49 PM Report abuse +1 rate up rate down Reply
tangier

Keep voting Democrat folks and watch economy get even worse than it is now but the government will sooth you by stating the economy is recovering..............Gobbles (Sp?) stated the bigger the lie the better the chance of believing it. Thanks liberal media for nothing.

August 18 2014 at 11:48 AM Report abuse rate up rate down Reply
1 reply to tangier's comment
rogue2474

Bush put into effect 8 YEARS of Republican policies and we went into the worst sh*thole EVER! That is the GOP policy that almost drove us to our knees, literally...still recovering from that and where are the losers who did it to us? Out there lying their AZZs off and saying it had nothing to do with them. Saying the medical class and poor drove us to that all the while putting the tax burden on our banks like we are damn pack horses and letting corporations game the system and not pay their bills. There are so many loopholes for republicans that our tax code is swiss cheese. You all have NO fiscal policy. Your policy is to strip it of all the protections that allow some of us to barely survive as it is. I see none of you giving back to the 401ks you stripped bare...no, your not THAT generous. You lift your legs and piss on those you believe beneath you. Which is everyone who you think you can take for a ride on your clown cart.

August 18 2014 at 10:34 PM Report abuse +2 rate up rate down Reply
mitch52

After reading all the comments from these negative,arm-chair pundits,who seem to know it all,I decided to share my own personal story. I was laid-off 3 times within four years from 3 different companies.All of these layoffs were beyond my control.In October of 2008 ,my 1st layoff was from a job where I made over 50,000 per year with fully paid medical insurance and benefits.The next job I got paid less and also had much less in benefits-and was laid-off from that one 1.5 years later.The next job paid even less,but the health insurance was good;I was laid-off for the 3rd time in Sept. of 2012.I was 58 yrs. old at that 3rd layoff,then the REAL unemployment began. I was unemployed for over 18 mos;my unemployment benefits ran out after 12 mos. I had 6 mos. of NO INCOME. I exhausted my 401-k,my Roth IRA,and now my personal savings are running low. I finally landed a part-time job at 8.00 per hour with NO BENEFITS;not enough to pay living expenses,nevermind health insurance premiums!! Thank God for savings,otherwise, I'd be living in a tent down by the river.My house is currently in Short-Sale because I could no longer afford to pay the mortgage,after 23 years of ownership. If that isn't enough,the house isn't even worth what I paid for it 23 years ago!!! Bottom line is this,companies to NOT WANT TO HIRE ANYBODY over 50 yrs. of age-that is a friggen fact-I know from first-hand experience!!! So, those of you who like to pontificate from your cushy armchairs, I hope some day in the future,when you are in your fifties,that you get the rug pulled out from under you. I guarantee that you will be singing a much different tune than you are now.You will be singing the blues to the highest heavens. I hope that day comes real soon.

August 18 2014 at 11:30 AM Report abuse +3 rate up rate down Reply
3 replies to mitch52's comment
threeleggedpig

Foreclosures are up because hey give loans to people who never could afford a house. You can't afford a house? Get a second job and save like others do everyday. Get your hand out of the people who earned there homes the old fashion way.

August 17 2014 at 12:16 AM Report abuse +4 rate up rate down Reply
2 replies to threeleggedpig's comment
d1anaw

You are right. Everyone blames the banks, but who signed the mortgage agreement? Who put in for that second or third mortgage to buy toys and upgrades? And the reality is that the minute they can do it, they are pushing up the prices again. They didn't learn that you cannot push prices to the point that no one can afford to buy and think it is going to work. It doesn't. And it doesn't take an MBA to figure that out.

August 18 2014 at 12:34 PM Report abuse +3 rate up rate down Reply
rogue2474

threeleggedpig, you are a total BS spreader. There are numerous reasons for foreclosures: job loss, medical bills, death in the family, etc....so don't demean anyone's basic knowledge of the things that happen in life. Things happen and you don't want to see to acknowledge it. Its people like you who are always trying to debase a majority of the country by saying they have no common sense. Of course there are also people who go beyond there means and I bet your one of them too so get down from your soap box and join the rest of your compatriots where you belong.

August 18 2014 at 10:42 PM Report abuse +2 rate up rate down Reply
Frank S. Pedigo

Wages down , hours cut , CEOs getting big bonuses , jobs being taken by cheap imported labor a.k.a. illegals and banks are suprised people are losing their homes ? We have a goverment that wont help America ( both parties ) anda bunch of morons running business what could go wrong ? I hope all Americans would stop paying their mortgages until the goverment ends free trade agreements and brings jobs back to the US . We should also stop going to amusment parks like Disney and Universal . Back in the 70s in Lexington Ky they raised concert tickets . People refused to buy them until they came back down . And the prices dropped . . That may sound simple but sometimes the simplist plans work the best . America Just Stop Buying anything you dont need . Let big business know we wont take it anymore . But I fear we have become a country of Cowards .

August 16 2014 at 7:40 PM Report abuse +7 rate up rate down Reply
1 reply to Frank S. Pedigo's comment
sevenv

You know the one I like the best ?....When they tell you they have created new jobs,ESPECIALLLY in construction and when you drive by the job sites ......People from other countires ,being HIGHLY represented,and being paid waaay below the going wage for the job,thereby cutting out the domestic work force....Then you hear ,"Well we could not fill,(did not want fill t), those skilled jobs because Americans,(want to work for a living wage), don't want to work"....While the people born here,many of whom have the job skills for those jobs will have to look for work ,....elsewhere.....Maybe we should stop buying those new homes ,built this way ,until those contractors can PROVE that at least 50% of their work force is AMERICAN...Letus not even talk about the NAFTA sellout.......!

August 18 2014 at 8:22 AM Report abuse +6 rate up rate down Reply
rudniski136

Nothing to see her folks. The MSM continually assures us all is well and the economy is in a great recovery." Pravda" would have done the same, as would every other State Run Media outlet.

August 16 2014 at 6:03 PM Report abuse +5 rate up rate down Reply
yayabeanes

Foreclosure rates are up because the banks/lenders are looking at the huge amount of equity in the homes they can cash in on instead of giving out all those loan modifications.

August 16 2014 at 5:04 PM Report abuse +5 rate up rate down Reply
Steve

Those politicians you send to Congress, all have two homes, al gratis from the taxpayers and they could give a flip about why they were elected for, as long as they raped the taxpayer.

August 16 2014 at 3:59 PM Report abuse +8 rate up rate down Reply
Steve

Now you can have a wrap around home with welfare and unemployment as qualifiers, a type of "redistribution" by the Marxist himself.

August 16 2014 at 3:56 PM Report abuse +3 rate up rate down Reply
1 reply to Steve's comment
rogue2474

Another DICK born and bred in the USA!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!! That's you Steve...people like you who divide this country.

August 18 2014 at 10:48 PM Report abuse +2 rate up rate down Reply
Steve

The day the liberals decided, everyone should own a home, without qualification, is the day the market started to shoot the rapids.

August 16 2014 at 3:54 PM Report abuse +5 rate up rate down Reply
2 replies to Steve's comment
davfroplu

Very good point Steve, The worst part about your statement is it is TRUE..

August 16 2014 at 7:09 PM Report abuse +2 rate up rate down Reply
jj2301

This is what happens when Government decides equal opportunity means equal outcome. Enough "leveling the playing field" (liberalspeak for hamstringing those who are better at competing); let those who come out ahead have their due. Let those who don't learn to live with it.

August 18 2014 at 9:12 AM Report abuse +3 rate up rate down Reply