RealtyTrac: Foreclosures on Slow Burn, August 2011

RealtyTrac released this news this evening.  There was no mention of Minnesota in the report, however we are still running middle of the pack in their foreclosure heat map.

The report talks about how foreclosure activity has been slowly declining but they are expecting it to pick back up as banks will want to move the next wave through the system.

“U.S. foreclosure activity has been mired down  since October of last year, when the robo-signing controversy sparked a flurry  of investigations into lender foreclosure procedures and paperwork,” said James  Saccacio, chief executive officer of RealtyTrac. “While foreclosure activity in  September and the third quarter continued to register well below levels from a  year ago, there is evidence that this temporary downward trend is about to  change direction, with foreclosure activity slowly beginning to ramp back up.

“Third quarter foreclosure activity increased  marginally from the previous quarter, breaking a trend of three consecutive  quarterly decreases that started in the fourth quarter of 2010,” Saccacio  continued. “This marginal increase in overall foreclosure activity was fueled  by a 14 percent jump in new default notices, indicating that lenders are  cautiously throwing more wood into the foreclosure fireplace after spending months  trying to clear the chimney of sloppily filed foreclosures.”

Read Full Report

RealtyTrac Foreclosure Heat Index Map

RealtyTrac Foreclosure Heat Index Map Minnesota

RealtyTrac Foreclosure Activity Counts

Hennepin County has 973 foreclosures according to RealtyTrac, they break that down further with the housing units to foreclosure ratio of 1 in every 520 housing units.  (quick math in my head 1 / 520 = .19% ?  is that right?  )I really wish we had a historical perspective on the foreclosure rate as a benchmark…

Still trying get a grasp on this phantom “Shadow Inventory” and what kind of numbers we are looking at for the Twin Cities…


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2 responses to “RealtyTrac: Foreclosures on Slow Burn, August 2011

  1. Craig,
    I don’t know how you can keep track of all of these statistics; but, in my own little world I’m finding a huge drop in distressed property inventory. I just completed a couple of appraisals in South Minneapolis, and the inventory levels for REO properties was in the 3-4 month range. Not great, but much better than a year ago. I just finished reading an article on CNBC that quotes Realty Trac as stating a large increase in forreclosure filings, whatever that means in this crazy world of ours.

    Thanks again for posting a link to my blog on tax appeals, it’s now my most read blog thanks to you!

    • Your experience in the field is really a better representation of the local market conditions than these stats. I just like to see things from both perspectives. I was a little frustrated with RealtyTracs press release because it only talks in terms of percentage increase, but it makes good headlines I guess.
      Glad to hear your blog post got a lot of traffic. It was a great post and well timed. Keep those posts coming!

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