A spirited discussion of real estate, jumbo loan lending and the economy.
Tuesday, March 27, 2007
Foreclosures Continue to Climb
The number of national foreclosure filings was up 4% in February as Nevada reported the highest state foreclosure rate for the second month in a row with a 24% monthly increase from January, according to RealtyTrac.A total of 130,786 foreclosure filings were reported during the month, down 4% from January’s revised total but still up 12% from February 2006. The national foreclosure rate stood at one foreclosure filing for every 884 U.S. households in February, according to the foreclosure tracking company.RealtyTrac considers default notices, auction sale notices and bank repossessions as foreclosure filings."Based on our numbers for the first two months of 2007, foreclosure activity is running at a rate that would project to a 33 percent increase over 2006," said RealtyTrac CEO James J. Saccacio."It appears that as subprime and FHA loans default at higher than anticipated rates, and lenders tighten their underwriting standards, we're going to continue to see a spike in the number of homeowners facing foreclosure."A 24% increase in monthly foreclosure activity kept Nevada in place as the nation's highest state foreclosure rate with for the second month in a row with foreclosure rate of one foreclosure filing for every 278 households In February, Nevada reported 3,124 foreclosure filings, up 77% from February 2006..Colorado followed with one foreclosure filing for every 345 households in February, a 9% month-to-month increase with 5,310 total foreclosure filings.Florida foreclosures skyrocketed more than 63% with 19,144 foreclosure filings – the most of any state - reporting one foreclosure filing for every 382 households. The Top Ten Foreclosure Rates: