The number of U.S. properties entering the foreclosure process dipped in June from the previous month, but were considerably higher than a year ago, according to an industry report released today.
A total of 88,195 properties entered some stage of foreclosure in June, down 5 percent from one month earlier, but were still 17 percent above the June 2005 level, according to RealtyTrac‘s June foreclosure market report. The report shows a June national foreclosure rate of one foreclosure filing for every 1,311 U.S. households.
“New U.S. foreclosures dropped to their lowest level of the year in June, despite some of the sensational and misleading figures that we’ve seen reported recently,” said James J. Saccacio, chief executive officer of RealtyTrac. “We think it’s irresponsible to present falsely inflated numbers to the media for commercial gain as we’ve seen happen recently. The fact is that most states, with the notable exception of California, Ohio and Nevada, reported decreased numbers of foreclosure filings in June.”
Despite posting the nation’s highest foreclosure rate for the fourth month in a row, Colorado foreclosure activity declined in June. The state reported 3,695 properties entering some stage of foreclosure, a 12 percent decrease from the previous month but still a 61 percent year-over-year increase from June 2005. With one new foreclosure filing for every 495 households, the state’s foreclosure rate was 2.7 times the national average.
Nevada’s foreclosure rate jumped from seventh highest to second highest in the nation thanks to a 13 percent increase in foreclosures from the previous month. The state reported 1,244 properties entering some stage of foreclosure, more than twice the number reported in June 2005 and a foreclosure rate of one new foreclosure filing for every 697 households — 1.9 times the national average.
Georgia reported 4,390 properties entering some stage of foreclosure, a decrease of 24 percent from the previous month and a decrease of 11 percent from June 2005, but the state’s foreclosure rate of one new foreclosure filing for every 705 households still ranked as the third highest in the country.
Texas foreclosure activity decreased 22 percent from the previous month, but the state still reported more new foreclosure filings than any other state for the seventh month in a row. A total of 11,355 Texas properties entered some stage of foreclosure in June, a foreclosure rate of one new foreclosure filing for every 709 households — the nation’s fourth-highest rate and more than 1.8 times the national average.
With 10,031 properties entering some stage of foreclosure, a 15 percent increase from the previous month, California leapfrogged past Florida to document the second most foreclosure filings of any state in June. California’s foreclosure rate of one new foreclosure filing for every 1,218 households inched above the national average for the first time in three months.
Florida reported 8,605 properties entering some stage of foreclosure in June, the third most of any state despite a 3 percent decrease from the previous month and a 12 percent year-over-year decrease from June 2005. The state’s foreclosure rate of one new foreclosure filing for every 849 households ranked eighth highest in the nation and was 1.5 times the national average.
RealtyTrac’s report includes properties in all three phases of foreclosure: Pre-foreclosures — Notice of Default (NOD) and Lis Pendens (LIS); Foreclosures — Notice of Trustee Sale and Notice of Foreclosure Sale (NTS and NFS); and Real Estate Owned, or REO properties (that have been foreclosed on and repurchased by a bank).