Foreclosure Activity Up in 65% of U.S. Metros in Q3: RealtyTrac
By: Carrie Bay
Data released by RealtyTrac Thursday shows that foreclosure activity rose in 65 percent of the nation’s major metropolitan areas during the third quarter.
Cities in California, Florida, Nevada, and Arizona once again claimed the nation’s highest foreclosure rates, accounting for 19 of the top 20 metros at the top of RealtyTrac’s list. The only exception was Boise City-Nampa, Idaho at No. 14. However, the largest increases in foreclosure filings were reported from Seattle, Chicago, and Houston.
Among all 206 metro areas tracked in the report 133 posted year-over-year increases in foreclosure activity, including 11 of the nation’s 20 largest metro areas.
Seattle-Tacoma-Bellevue led the way with a 71 percent increase in foreclosure activity from the third quarter of 2009, followed by Chicago-Naperville-Joliet with a 35 percent increase. Houston-Sugar Land-Baytown posted a 26 percent increase in foreclosure activity from a year earlier. Detroit-Warren-Livonia saw filings up nearly 23 percent, and Atlanta-Sandy Springs-Marietta recorded a 20 percent increase.
“The underlying problems that are causing homeowners to miss their mortgage payments – high unemployment, underemployment, toxic loans and negative equity – are continuing to plague most local housing markets,” said James J. Saccacio, CEO of RealtyTrac. “And these historically high foreclosure rates will continue until those problems are resolved.”
Las Vegas-Paradise continued to post the nation’s highest metro foreclosure rate in the third quarter, with one in every 25 housing units (3.98 percent) receiving a foreclosure filing – more than five times the national average. A total of 32,288 properties in the metro area received a foreclosure filing during the quarter, an increase of nearly 2 percent from the previous quarter but a decrease of 20 percent from the third quarter of 2009.
Cape Coral-Fort Myers, Florida, documented the nation’s second highest metro foreclosure rate, with one in every 35 housing units (2.84 percent) receiving a foreclosure filing during the third quarter. A total of 10,352 properties in the metro area received a foreclosure filing in Q3. That’s up 12 percent from the previous quarter but down nearly 22 percent from the third quarter of last year.
The only other Florida metro area in the top 10 was Miami-Fort Lauderdale-Pompano Beach at No. 7 (2.42 percent).
With one in every 36 housing units (2.76 percent) receiving a foreclosure filing during the third quarter, Modesto, California, posted the nation’s third highest metro foreclosure rate despite a nearly 18 percent decrease in foreclosure activity from the third quarter of 2009.
Other California metro areas in the top 10 were Stockton at No. 4 (2.59 percent); Merced at No. 5 (2.48 percent); Riverside-San Bernardino-Ontario at No. 6 (2.46 percent); Bakersfield at No. 9 (2.25 percent); and Vallejo-Fairfield at No. 10 (2.23 percent).
Phoenix-Mesa-Scottsdale posted the nation’s eighth highest metro foreclosure rate, with one in every 44 housing units (2.28 percent) receiving a foreclosure filing during the third quarter.
Phoenix also documented the most bank repossessions of any metro area during the third quarter, with 14,317 properties completing the foreclosure process – up 6 percent from the previous quarter and up nearly 28 percent from the third quarter of 2009.
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