The Latest Updates on Foreclosures from Around the Country
We’re almost to the end of October, and with a little over two months left in 2013, the foreclosure market across the country is shaping up and sorting itself out.
Here is a look at what is happening with foreclosures in various markets from across the U.S.
California Foreclosures Lowest in Seven Years
California has been hit as hard as any state by the foreclosure crisis, but at this moment in time, the state has recovered nicely – to the tune of having the fewest foreclosures this year since 2006.
According to recent statistics, California’s third quarter foreclosure level fell by 59% from the third quarter of 2012 and is at the lowest level – 20,300 notices of default – since the first quarter of 2006.
Even more important, there were just over 8,000 foreclosures completed, which is 65% lower year-over-year and the lowest mark since the fourth quarter of 2006.
As we’ve discussed previously, California foreclosures are improving significantly due to a variety of causes.
Southwest Florida Foreclosures Fall
Foreclosures in another hard-hit state – Florida – are also declining in certain areas.
The foreclosure rate in the Sarasota-Manatee area fell by nearly four points; the rate in neighboring Charlotte County dropped by three points. The rate for the state as a whole is down by 2.5 points from last year.
The most recent drop is owed in part to a new foreclosure law designed to clear logjams in the courts, some of the nation’s busiest. That could mean foreclosure rates could rise next year as banks adjust to the law and resume activity; for now, Florida is enjoying a respite.
Foreclosures Fall in Indianapolis, Richmond
Elsewhere in the country, foreclosures took a dip in a few metro areas.
In Indianapolis, home to 1.7 million people in the metro area, the foreclosure rate took a steep 36% decline from last August. The rate now stands at 2.14%, coupled with a 22% decline in mortgage delinquencies. This lower delinquency rate suggests fewer foreclosures in the coming months.
Sales of foreclosed homes in the area also fell by 38%.
In Richmond, Virginia, home to 1.3 million people, the foreclosure rate fell by 39% from last year to a low rate of 0.92%. The delinquency rate is down to 4.3% from 5.02% a year ago.
Virginia is a good example of a state that has a healthy traditional real estate market. The state foreclosure rate is only 0.78%, compared to the national average of 2.36%.
As foreclosures decline in key metros, opportunities for buying discounted properties are becoming competitive. Those looking to take advantage should get in the market now to compete.