Foreclosure Activity in St. Louis Area Down 23 Percent in April

The St. Louis Foreclosure Rate declined over 23 percent in April from the prior month and was down almost 39 percent from a year ago, according to a report released this morning by RealtyTrac.  Granted, some of this decline for April was no doubt due to the severe storms that hit the area April 19th triggering a moratorium on foreclosures for many (as I wrote about yesterday) but even without that, I ‘m sure the rate would still be down, which is good. Continue reading “Foreclosure Activity in St. Louis Area Down 23 Percent in April

Foreclosure Activity Decreases 15 Percent during First Quarter of 2011

The 800 pound gorilla in the room has finally lost some weight!

RealtyTrac released their foreclosure report for the first quarter of 2011 which shows foreclosure filings were reported on 681,153 U.S. properties during the quarter, a 15 percent decrease from the previous quarter and a 27 percent decrease from the first quarter of 2010.  St. Louis did not see as big of a decrease but still the numbers are looking better!  St. Louis had 5,023 properties with foreclosure filings during the first quarter 2011 which works out to one in every 248 St. Louis properties and represents a decrease of 17.82 percent from the previous quarter and a 11.80 decrease from the 1st quarter of 2010.

Continue reading “Foreclosure Activity Decreases 15 Percent during First Quarter of 2011

St Louis Foreclosure Rate drops almost 20 percent in February

St. Louis Foreclosure Activity  in February declines 40 Percent More in St. Louis than overall U.S.

RealtyTrac just released their foreclosure activity report for February showing foreclosure activity in the St. Louis metro area declined 19.6 percent from the month before and was down 17.86 percent from a year ago. The U.S. foreclosure rate declined 14 percent in February.

The table below shows how each county in the St. Louis MSA fared in February.  Continue reading “St Louis Foreclosure Rate drops almost 20 percent in February

Foreclosure homes account for 26 percent of all 2010 sales

RealtyTrac released their foreclosure report for 2010 showing that foreclosure homes accounted for nearly 26 percent of all U.S. residential sales during the year. This is down from 2009 when 29 percent of all sales were foreclosure homes. Continue reading “Foreclosure homes account for 26 percent of all 2010 sales

St. Louis metro foreclosure rate up almost 9 percent in January

St. Louis bucks the national foreclosure trend…in the wrong way..

Earlier today I wrote that the U.S. foreclosure rate for January was up 1 percent from December and down 17 percent from the year before….unfortunately the numbers for St. Louis are not that good at all and in fact much worse.  According to data released by RealtyTrac, the St. Louis Metro Area foreclosure rate in January 2011 rose almost 9 percent from December (8.76 percent) and was up 14.77 percent from January 2010. Continue reading “St. Louis metro foreclosure rate up almost 9 percent in January

U.S. Foreclosures up slightly in January; down 17 percent from year before

RealtyTrac released their foreclosure report for January 2011 showing there were foreclosure filings in January on 261,333 U.S. properties, a 1 percent increase from December but a 17 percent decrease from January 2010. Continue reading “U.S. Foreclosures up slightly in January; down 17 percent from year before

Foreclosures in 2010 up from 2009 in U.S.; down in top ten foreclosure markets

RealtyTrac released their foreclosure report for 2010 which showed some mixed results.  During 2010 there were 2,871,891 foreclosure filings in the U.S., an increase of 1.67 percent from 2009. However the metro areas with the 10 highest foreclosure rates all saw decreases in foreclosure filings in 2010 from the year before, in fact six of the ten metros even had decreased foreclosure activity from 2008. Continue reading “Foreclosures in 2010 up from 2009 in U.S.; down in top ten foreclosure markets

Buyers of distressed properties in third quarter reaped largest discount in five years

According to a report released by RealtyTrac, foreclosure homes accounted for 25 percent of all U.S. residential sales in the third quarter of 2010 and that the average sales price of properties that sold while in some stage of foreclosure was more than 32 percent below the average sales price of properties not in the foreclosure process — up from a 26 percent discount in the previous quarter and a 29 percent discount in the third quarter of 2009. Continue reading “Buyers of distressed properties in third quarter reaped largest discount in five years

Is now a safe time to buy foreclosures?


Dennis Norman St Louis

Dennis Norman

According to a report just released by RealtyTrac® foreclosures increased in the third quarter of 2010, although with a slowing rate of increase.  There were 930,437 foreclosure filings in the third quarter, up almost 4 percent from the 2nd quarter but up only 1 percent from the year before.  One in every 139 housing units in the U.S. received a foreclosure filing during 3rd quarter.

During the month of September alone, there were foreclosure filings reported on 347,420 U.S. properties, an increase of nearly 3 percent from the previous month and an increase of 1 percent from September 2009. A record total of 102,134 bank repossessions were reported in September, the first time bank repossessions have surpassed the 100,000 mark in a single month. Continue reading “Is now a safe time to buy foreclosures?

The Five Best Places to Find Foreclosure Bargains

Dennis Norman

When I first entered the real estate business in 1979, at the age of 18 which seems so long ago) foreclosures were a mystery to most people and certainly no one looking for a home to live in looked to buy a foreclosure.  Homes that were being foreclosed upon were advertised in legal newspapers that no one other than some speculators, attorneys and bankers subscribed to basically.  Here in St. Louis I was one of a couple of handfuls of real estate investors that would do the research then go out and try to buy foreclosures to resell.  Continue reading “The Five Best Places to Find Foreclosure Bargains

Foreclosure Activity Increases In July; Down from a year ago

Dennis Norman

I remember, not that long ago, when 300,000 foreclosures in a month would have seemed unreal. However, July now marks the 17th consecutive month that there have been foreclosure filings exceeding 300,000 for the month.

Continue reading “Foreclosure Activity Increases In July; Down from a year ago

One in 78 Housing Units In U.S. In Foreclosure In First Half of 2010

Dennis Norman

According to a report released this morning by RealtyTrac there were 1,961,894 foreclosure filings in the first six months of 2010 on 1,654,634 housing units in the U.S.  This reflects a 5 percent decrease from foreclosure activity for the prior 6 month period but is an 8 percent increase from the same period of 2009.  What is just a sickening statistic in the report is that, during the first six months of 2010, 1.28 percent of all housing units in the U.S., or one in 78, received at least one foreclosure filing during that period.

For the month of June there were foreclosure filings reported on 313,841 U.S. properties, a decrease of nearly 3 percent from May and a decrease of nearly 7 percent from June 2009.  However, June marked the sixteenth consecutive month with over 300,000 foreclosure filings during the month.

James J. Saccacio, chief executive officer of RealtyTrac, said “the midyear numbers put us on pace to exceed 3 million properties with foreclosure filings by the end of the year, and more than 1 million bank repossessions…….the roller coaster pattern of foreclosure activity over the past 12 months demonstrates that while the foreclosure problem is being managed on the surface, a massive number of distressed properties and underwater loans continues to sit just below the surface, threatening the fragile stability of the housing market.”

States with Highest Foreclosure Rates in first half of 2010-

  1. Nevada – One in ever 17 housing units
  2. Arizona – One in every 30 housing units
  3. Florida – One in every 32 housing units
  4. California – One in every 39 housing units
  5. Utah- One in every 52 housing units
  6. Georgia – One in every 56 housing units
  7. Michigan – One in every 58 housing units
  8. Idaho – One in every 60 housing units
  9. Illinois – One in every 62 housing units
  10. Colorado – One in every 71 housing units

So while it is good to see the month-over-month foreclosure rates decrease the rates continue to hover around record levels which is not good.  Plus, as Mr. Saccacio addresses with his comment about the massive numbers of distressed properties and underwater loans “sitting just below the surface” and as I addressed last week in my post ‘Shadow’ Foreclosure Inventory is the 800 lb Gorilla, this problem is far from over unfortunately.

Nearly 233,000 Foreclosure and Bank-Owned Homes Sold in First Quarter

Dennis Norman

Average discount on Foreclosure and Bank-Owned Homes is 27 Percent

This morning RealtyTrac released a report stating that 31 percent of all residential sales in the first quarter of 2010 were foreclosure homes or bank-owned homes. They are reporting 233,000 foreclosure and bank-owned homes sold during first quarter 2010 at an average price discount of 27 percent (based upon average sale price of non-foreclosure properties).

This data is fairly consistent with date from the National Association of REALTORS which reported there were right at 1 million existing homes sold in the first quarter of 2010 and roughly 35 percent of those were “distressed” sales. Do the math and this works out to about 350,000 distressed sales which, in addition to foreclosures and bank-owned homes which are counted in RealtyTrac’s numbers, also include short-sales which are very prevalent in many markets.

The bottom line is, distressed sales and foreclosures have a huge impact on the housing market, particularly home prices, and, as I have been saying for some time now, we will not see the housing market stabilize until the foreclosure rate recedes from record levels and starts heading back down toward a “normal” rate the market can live with.

Highlights of the RealtyTrac Report:

  • The share of home sales attributable to foreclosures and bank-owned homes for first quarter 2010 was 14 percent less than the previous quarter and down 33 percent from the peak in first quarter of 2009 when these sales accounted for 37 percent of all residential sales.
  • The average sales price on properties in some stage of foreclosure decreased 23 percent from 2006 to 2009.
  • The average discount on sale prices of foreclosures and bank-owned properties has steadily increased from 21 percent in 2006 to 27 percent in the first quarter of 2010.
  • Discounts on Bank-Owned real estate are larger than on pre-foreclosures…although the trend on foreclosures appears to be showing increased discounts as short sales increase.
  • Foreclosure sales have increased 2,500 percent from 2005 to 2009.
  • More than 1.2 million U.S. properties that were in some stage of foreclosure were sold to third-parties in 2009, an increase of 25 percent from 2008 and an increase of nearly 327 percent from 2008.
  • Nevada, California and Arizona had the highest percentage of foreclosure sales in the first quarter of 2010.
  • Ohio, Kentucky and Illinois had the highest price discounts on foreclosures in first quarter 2010.

 

St Louis Area Foreclosures On The Rise

Dennis Norman

While foreclosure activity for the U.S. in May decreased by 3 percent according to a report released by RealtyTrac, the news was much worse for the St. Louis metro area, and Missouri as a whole.

Every County in the St. Louis metro area, on the Missouri side of the river, experienced an increase in foreclosures in May from a year ago, and six of the nine counties contained in the report had an increase in May 2010 from the prior month.

On the Illinois side of the river things looked slightly better with 3 of 7 counties seeing an increase in foreclosures from the year before and also 3 of 7 counties having an increase in foreclosures in May 2010 from the month before.

Highlights from the report for May 2010 Foreclosures:

  • The state of Missouri had a total of 3,841 foreclosure actions for the month; an increase of 5.67 percent from the month before and a 37.37 percent increase from a year ago. One in every 694 households in the state had a foreclosure action in May.
  • The entire St. Louis metro area (9 counties on the Missouri side and 7 on the Illinois side) had a total of 2,558 foreclosure actions for the month; an increase of 12.29 percent from the month before and a 41.95 percent increase from a year ago.  One in every 485 households in the St. Louis Metro area had a foreclosure action in May.

Source: RealtyTrac

Foreclosure Activity Drops 3 Percent in May; 15th Consecutive Month of Over 300,000 Foreclosure Actions

 

Dennis Norman

The good news is, foreclosure activity for the U.S. in May decreased by 3 percent according to a report released by RealtyTrac. The bad news is, May marked the 15 th consecutive month where the overall foreclosure activity has surpassed 300,000 actions; that’s about 4 million foreclosures in the past 15 months.

For May there were foreclosure filings reported on 322,920 properties in the U.S., a 3 percent decrease from April but a 1 percent increase from May 2009. One in every 400 U.S. housing units received a foreclosure filing during the month of May.

“The numbers in May continued and confirmed the trends we noticed in April: overall foreclosure activity leveling off while lenders work through the backlog of distressed properties that have built up over the past 20 months,” said James J. Saccacio, chief executive officer of RealtyTrac. “Defaults and scheduled auctions combined increased by 28 percent from 2007 to 2008 and another 32 percent from 2008 to 2009 — creating a build-up of delayed bank repossessions. Lenders appear to be ramping up the pace of completing those forestalled foreclosures even while the inflow of delinquencies into the foreclosure process has slowed.”

Bank Repo’s Hit Record in May

The number of properties actually taken back (foreclosed upon) in May was 93,777 breaking the prior month’s record high and setting a new record.

States with Highest Foreclosure Rates in May-

  1. Nevada – One in ever 79 housing units
  2. Arizona – One in every 169 housing units
  3. Florida – One in every 174 housing units
  4. California – One in every 186 housing units
  5. Michigan – One in every 223 housing units

The CEO of RealtyTrac stated above that he thinks the foreclosure rate is “leveling off”, which I would certainly hope is true….I don’t know how we can possibly sustain it continuing to increase. I think it is important to note though, we are talking about the rate leveling off at record-high levels and there is no indication the rate is going to drop anytime soon, therefore it is going to be a while before the aftershock of this wears off. Mortgage defaults, the “fuel” for the foreclosure rate, are starting to show signs of leveling off as well but until we see the default rate drop and continue to trend downward we will not see a significant or meaningful downward trend in the foreclosure rate.

 

Foreclosures Still On The Rise – Some Improvement in Hardest Hit Areas Though

RealtyTrac® released its U.S. Foreclosure Market Report™ for the first quarter of 2010, which shows foreclosure filings — default notices, scheduled auctions and bank repossessions — were reported on 932,234 U.S. properties during the first quarter of 2010, an increase of 16 percent from the first quarter of 2009 (which, I should remind you, was up 24 percent from the first quarter of 2008).

According to the report, the 20 metro areas with the highest rates of foreclosures were still contained to four states:

  • California – 10 of the top 20 metro foreclosure rates
  • Florida – 7 of the top 20 metro foreclosure rates
  • Nevada – 2 of the top 20 metro foreclosure rates
  • Arizona – 1 of the top 20 metro foreclosure rates

The year-over-year foreclosure rate declined in 14 of the 20 top metro areas and in eight of the cities in the top 10, so there is some encouragement for these four states that have been hammered by foreclosures.

“The decreasing foreclosure activity in some of the nation’s top foreclosure hot spots in the first quarter is largely the result of government intervention and other non-market influences, and not a sure signal that those areas are out of the woods yet when it comes to foreclosures,” said James J. Saccacio, chief executive officer of RealtyTrac. “For example, the federal government’s new program designed to encourage short sales, which was launched April 5, may have caused some lenders to delay initiating foreclosure against distressed properties — particularly in hard-hit housing markets where a short sale costs less than a foreclosure.”

Top 10 metro foreclosure rates:

  • Las Vegas continued to post the nation’s highest metro foreclosure rate in the first quarter, with one in 28 housing units receiving a foreclosure filing (3.51 percent) — 4.9 times the national average. A total of 28,480 Las Vegas housing units received a foreclosure filing during the quarter, an increase of nearly 13 percent from the previous quarter but a decrease of 19 percent from the first quarter of 2009.
  • Modesto, Calif., foreclosure activity decreased 13 percent from the first quarter of 2009, but the metro area still documented the nation’s second highest metro foreclosure rate, with one in every 34 housing units receiving a foreclosure filing (2.93 percent).
  • Cape Coral-Fort Myers, Florida, #3 with one in every 35 housing units receiving a foreclosure filing (2.82 percent)
  • Riverside-San Bernardino, Calif., #4 (2.82 percent)
  • Stockton, Calif.,#5 (2.77 percent)
  • Merced, Calif., # 6 (2.76 percent)
  • Phoenix-Mesa-Scottsdale, Ariz., #7 (2.63 percent)
  • Vallejo-Fairfield, Calif., # 8 (2.41 percent)
  • Bakersfield, Calif., # 9 (2.33 percent).
  • Orlando-Kissimmee, Florida, #10 (2.30 percent)

Cities outside Sun Belt post big increases:

Several cities in the top 100 but not in the top 20 posted substantial year-over-year increases, continuing the trend of foreclosure activity spreading to areas previously protected from the brunt of the real estate slump.

Foreclosure activity increased nearly 171 percent from the first quarter of 2009 in Columbia, S.C., and the city’s foreclosure rate ranked No. 99, with one in every 202 housing units receiving a foreclosure filing.

Baltimore’s first quarter foreclosure rate was also below the national average, with one in every 170 housing units receiving a foreclosure filing, but the city’s foreclosure activity increased nearly 141 percent from the first quarter of 2009.

Salt Lake City and Charlotte, N.C. also posted year-over-year increases in foreclosure activity of more than 100 percent.

St. Louis Real Estate – Missouri Foreclosures Increase 2.34 Percent

Missouri’s foreclosure rate increased in February by 2.34 percent from January but is down 3.68 percent from February 2009.

RealtyTrac® released its February 2010 U.S. Foreclosure Market Report™, which shows foreclosure filings — default notices, scheduled auctions and bank repossessions — were reported on 308,524 U.S. properties during the month of February, a decrease of 2 percent from the previous month but still 6 percent above the level reported in February 2009. This translates into one in every 418 U.S. housing units receiving a foreclosure filing in February.

Missouri ranked 30th in the U.S. in terms of foreclosure rate in February, with 1 in 884 people in Missouri receiving a foreclosure notice during the month.  This represents a 2.34 percent increase from January’s rate, and a 3.68 percent decrease from February, 2009.

“The 6 percent year-over-year increase we saw in February was the smallest annual increase we’ve seen since January 2006, when we began calculating year-over-year increases, but it still marked the 50th consecutive month of year-over-year increases in foreclosure activity,” said James J. Saccacio, chief executive officer of RealtyTrac. “This leveling of the foreclosure trend is not necessarily evidence that fewer homeowners are in distress and at risk for foreclosure, but rather that foreclosure prevention programs, legislation and other processing delays are in effect capping monthly foreclosure activity — albeit at a historically high level that will likely continue for an extended period.

Nevada, Arizona and Florida post top state foreclosure rates:

Nevada foreclosure activity decreased nearly 7 percent from the previous month and was down 30 percent from February 2009, but the state’s foreclosure rate continued to rank highest in the nation for the 38th month in a row. One in every 102 Nevada housing units received a foreclosure filing during the month — more than four times the national average.

Arizona and Florida documented nearly identical foreclosure rates, with one in every 163 housing units receiving a foreclosure filing in both states. Despite a nearly 21 percent decrease in foreclosure activity from the previous month, Arizona’s rate was statistically slightly higher than Florida’s rate and ranked second highest among the states.

California’s foreclosure rate ranked fourth highest among the states, with one in every 195 housing units receiving a foreclosure filing during the month, and Michigan’s foreclosure rate ranked fifth highest among the states, with one in every 226 housing units receiving a foreclosure filing.
Other states with foreclosure rates among the nation’s 10 highest were Utah (one in every 275 housing units), Idaho (one in 296), Illinois (one in 305), Georgia (one in 331) and Maryland (one in 407).

St Louis Real Estate News: Foreclosures in the St Louis metro area decrease over 29 percent in October

Dennis Norman

Dennis Norman

Monroe and Jefferson County saw sharp increases however.

RealtyTrac® released its Foreclosure Market Reporttmfor October showing that foreclosure filings (default notices, scheduled auctions and bank repossessions) were down 3.3 percent in October from the month before in the US and up 18.86 percent from the year before.

RealtyTrac Foreclosure Rate for third quarter 2009Here in St Louis, overall the picture is much better. For the 16 counties and 1 city included in the RealtyTrac® report for the St Louis metro area foreclosure filings in October were down 29.47 percent from the month before and down 30.39 percent from the year before. Included in this data are 8 counties on the Illinois side of the river, St Louis City and eight other counties on the Missouri side. Continue reading “St Louis Real Estate News: Foreclosures in the St Louis metro area decrease over 29 percent in October