By Peter Ricci
Foreclosure filings in July fell by 10 percent from a year ago, according to the latest U.S. Foreclosure Market Report from RealtyTrac.
Encompassing default notices, scheduled auctions and bank repossessions, there were 191,925 filings in July, which was also a 3 percent decline from June.
Foreclosure/REO News and Statistics from RealtyTrac
A wide-ranging survey of the state of distressed property in the U.S. housing market, RealtyTrac’s market report also found:
- The decline in REO inventory, which we covered just last week, played a big role in the decline of overall foreclosure activity, which fell year-over-year for the 22nd straight month its lowest level since April.
- REO activity was also down in 38 states, though there were annual increases in Florida (38 percent), Ohio (25 percent) and Illinois (22 percent).
- After 27 straight months of declines in foreclosure starts, they were up in July by 6 percent from last year, though as we noted in our coverage of the Mortgage Bankers Association’s latest National Delinquency Survey, that increase was from FHA loans; all other loans saw foreclosure starts decline. Still, starts were down 6 percent from June.
- Bank repossessions were also down, falling 21 percent from June 2011 and for the 21st consecutive month.
Current Housing Legislation
In comments accompanying RealtyTrac’s report, Vice President Daren Blomquist noted the uneven nature of the distressed market recovery, and how new housing legislation in some states may impact current foreclosure activity trends. Though Blomquist drew specific attention to a mediation law in Oregon that aims to avoid foreclosure, we wonder what an eminent domain clause for distressed mortgages (which the City of Chicago and Riverside County, California have been considering) would do to the process.