Conflicting Results: REOs Up, Defaults Down in July
Foreclosure numbers reported by RealtyTrac in July revealed conflicting results as banks repossessed more properties, even while the number of defaulting homeowners declined, reports RealtyTrac Senior Vice President Rick Sharga.
At the current rate, the nation is on track to see more than 1 million properties return to lenders as REOs by year's end, Sharga notes, a historical high for a 12 month period. California continues to lead the nation in total foreclosure activity, while Nevada posted the highest foreclosure rate in the nation once again. Las Vegas topped the heap as the metro area with the highest foreclosure rate.
Additionally, banks appear to be controlling the level of distressed properties on the market by delaying initiation of the foreclosure process for as long as possible. A methodology that Sharga believes may extend the national foreclosure crisis as far out as possibly 2012.
Click on the video below to see Sharga's entire report.