1.4 Million Homes in the Foreclosure Inventory at the End of 2011
According to a report just released by CoreLogic, there were 830,000 foreclosures completed during the year in 2011, a 24 percent decrease from 2010 when there were 1.1 million. For the month of December, there were 55,000 foreclosures, down 3.5 percent from November when there were 57,000 and down 17.9 percent from December 2010 when there were 67,000 foreclosures completed.
The report shows that 1.4 million homes, or 3.4 percent of all homes in the U.S. that have a mortgage, were at some stage of the foreclosure process as of December 2011. Corelogic counts any loan that is 90+ days delinquent as being “in the foreclosure process” and it remains there until the foreclosure is completed.
Nationally, the number of loans in the foreclosure inventory decreased 8.4 percent in December 2011 compared to December 2010, a decline of 130,000 properties nationwide. The number of loans in the foreclosure inventory decreased by 5.3* percent in November 2011 compared to November 2010 as well.
The share of borrowers nationally that were 90 days or more delinquent on their mortgage payments, classified as seriously delinquent, improved to 7.3 percent in December 2011 compared to 7.8 percent in December 2010.
According to CoreLogic, servicers nationwide stepped up the rate at which they were able to process distressed assets –– the distressed clearing ratio –– in December 2011. The distressed clearing ratio is calculated by dividing the number of REO sales by completed foreclosures. The higher the ratio, the faster the REO inventory is clearing. The distressed clearing ratio was 1.03, up from 0.94 in November 2011.
“The inventory of foreclosed properties has begun to shrink, and the pace at which properties are entering foreclosure is slowing. While foreclosure filings are being curtailed by a variety of judicial and regulatory constraints, mortgage servicers are completing REO sales faster than they are completing foreclosures,” said Mark Fleming, chief economist with CoreLogic. “This is the first time in a year that REO sales have outpaced completed foreclosures, and part of the reason for the decrease in the foreclosure inventory.”
Highlights as of December 2011
- The percent of homeowners nationally who were more than 90 days late on their mortgage payment, including homes in foreclosure and REO, was 7.3 percent for December 2011 compared to 7.8 percent for December 2010, and 7.2 percent in November 2011.
- The five states with the highest foreclosure inventory were: Florida (11.9 percent), New Jersey (6.4 percent), Illinois (5.4 percent), Nevada (5.3 percent) and New York (4.6 percent).
- The five states with the lowest foreclosure inventory were: Wyoming (0.7 percent), Alaska (0.8 percent), North Dakota (0.8 percent), Nebraska (1.0 percent) and Washington (1.3 percent).
- Of the top 100 markets, measured by Core Based Statistical Areas (CBSAs) population, 34 are showing an increase in the foreclosure inventory in December 2011 compared to a year ago, an improvement from November 2011 when 46* of the top CBSAs were showing an increase in the foreclosure inventory compared to a year ago.
*November data was revised. Revisions are standard, and to ensure accuracy CoreLogic incorporates newly released data to provide updated results.
Foreclosure and Delinquency State and National Ranking (sorted by Foreclosure Inventory):
| State | December 2011 | |||
| 90+ Delinquency Rate | Foreclosure Inventory | Foreclosure Inventory Change From a Year Ago | ||
| National | 7.3% | 3.4% | -0.2% | |
| FL | 17.4% | 11.9% | -0.1% | |
| NJ | 10.6% | 6.4% | 0.7% | |
| IL | 9.2% | 5.4% | 0.6% | |
| NV | 13.4% | 5.3% | -3.2% | |
| NY | 7.9% | 4.6% | 0.6% | |
| ME | 6.9% | 4.2% | 0.5% | |
| CT | 7.2% | 4.1% | 0.9% | |
| HI | 6.6% | 3.8% | 0.3% | |
| SC | 6.7% | 3.7% | 0.7% | |
| OH | 6.9% | 3.5% | 0.1% | |
| IN | 6.6% | 3.5% | 0.1% | |
| NM | 5.7% | 3.3% | 0.5% | |
| DE | 6.7% | 3.1% | -0.2% | |
| MD | 8.0% | 3.1% | 0.5% | |
| KY | 5.6% | 2.8% | 0.3% | |
| OR | 5.4% | 2.7% | 0.2% | |
| AZ | 7.1% | 2.7% | -1.6% | |
| DC | 5.6% | 2.7% | 0.4% | |
| CA | 7.0% | 2.7% | -0.5% | |
| MS | 7.6% | 2.7% | -0.1% | |
| PA | 5.9% | 2.6% | 0.2% | |
| OK | 5.3% | 2.5% | 0.0% | |
| GA | 8.0% | 2.5% | -0.2% | |
| NC | 5.9% | 2.5% | 0.5% | |
| RI | 7.5% | 2.4% | -0.9% | |
| LA | 6.3% | 2.4% | -0.5% | |
| VT | 4.0% | 2.4% | 0.3% | |
| WI | 4.6% | 2.3% | -0.2% | |
| IA | 4.2% | 2.2% | -0.1% | |
| ID | 5.2% | 2.1% | -0.7% | |
| MI | 6.5% | 2.1% | -0.7% | |
| TN | 6.3% | 2.0% | 0.0% | |
| MN | 4.6% | 1.8% | -0.2% | |
| MA | 5.7% | 1.8% | -0.4% | |
| UT | 5.0% | 1.7% | -0.7% | |
| NH | 4.6% | 1.7% | -0.1% | |
| KS | 4.4% | 1.7% | -0.1% | |
| WV | 4.1% | 1.5% | -0.1% | |
| VA | 4.1% | 1.5% | -0.1% | |
| CO | 4.1% | 1.5% | -0.4% | |
| MO | 4.6% | 1.5% | -0.1% | |
| TX | 4.8% | 1.4% | -0.1% | |
| MT | 3.1% | 1.4% | -0.3% | |
| AR | 5.2% | 1.4% | -0.4% | |
| SD | 2.7% | 1.4% | 0.1% | |
| AL | 5.7% | 1.3% | -0.4% | |
| WA | 6.2% | 1.3% | -0.9% | |
| NE | 3.0% | 1.0% | -0.2% | |
| ND | 1.7% | 0.8% | 0.0% | |
| AK | 2.3% | 0.8% | -0.1% | |
| WY | 2.5% | 0.7% | -0.4% | |
| Source: CoreLogic Dec 2011 | ||||
Foreclosure and Delinquency Rates for the Largest (CBSAs) Based on Outstanding Loan Count:
| CBSA | December 2011 | |||
| 90+ Delinquency Rate | Foreclosure Inventory | Foreclosure Inventory Change From a Year Ago | ||
| Chicago-Joliet-Naperville, IL | 10.8% | 6.3% | 0.8% | |
| Los Angeles-Long Beach-Glendale, CA | 7.3% | 2.7% | -0.5% | |
| Atlanta-Sandy Springs-Marietta, GA | 8.9% | 2.9% | -0.2% | |
| New York-White Plains-Wayne, NY-NJ | 8.6% | 5.3% | 0.5% | |
| Washington-Arlington-Alexandria, DC-VA-MD-WV | 5.9% | 2.3% | 0.0% | |
| Houston-Sugar Land-Baytown, TX | 5.2% | 1.6% | -0.1% | |
| Phoenix-Mesa-Glendale, AZ | 7.6% | 2.9% | -2.1% | |
| Riverside-San Bernardino-Ontario, CA | 10.1% | 3.8% | -1.1% | |
| Dallas-Plano-Irving, TX | 5.1% | 1.4% | -0.1% | |
| Minneapolis-St. Paul-Bloomington, MN-WI | 5.0% | 2.0% | -0.3% | |
| Philadelphia, PA | 5.8% | 2.5% | 0.2% | |
| Seattle-Bellevue-Everett, WA | 6.4% | 1.4% | -1.0% | |
| Denver-Aurora-Broomfield, CO | 4.3% | 1.5% | -0.4% | |
| San Diego-Carlsbad-San Marcos, CA | 6.0% | 2.3% | -0.3% | |
| Tampa-St. Petersburg-Clearwater, FL | 17.0% | 12.1% | 0.9% | |
| Santa Ana-Anaheim-Irvine, CA | 5.5% | 2.2% | -0.1% | |
| St. Louis, MO-IL | 5.0% | 1.7% | -0.1% | |
| Baltimore-Towson, MD | 7.6% | 2.9% | 0.5% | |
| Nassau-Suffolk, NY | 10.3% | 6.2% | 0.7% | |
| Oakland-Fremont-Hayward, CA | 6.5% | 2.5% | -0.4% | |
| Warren-Troy-Farmington Hills, MI | 6.0% | 2.0% | -0.9% | |
| Portland-Vancouver-Hillsboro, OR-WA | 5.5% | 2.3% | -0.1% | |
| Sacramento–Arden-Arcade–Roseville, CA | 7.6% | 3.0% | -0.6% | |
| Orlando-Kissimmee-Sanford, FL | 18.3% | 12.2% | -0.1% | |
| Edison-New Brunswick, NJ | 8.7% | 5.3% | 0.6% | |
| Source: CoreLogic Dec 2011 | ||||
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