Fallout from the robo-signing scandal kept a lid on foreclosure filings in January, data aggregator RealtyTrac said, particularly in judicial foreclosure states where courts oversee the process.
But there are warning signs that the lid is set to blow, with filings already picking up in non-judicial foreclosure states.
Before procedural issues that surfaced last fall slowed new foreclosure filings and processing of existing cases, RealtyTrac’s inspections of public records had logged 20 consecutive months when at least 300,000 properties were hit with foreclosure-related filings.
In November, that number dipped below the 300,000 mark for the first time in nearly two years, and has yet to bounce back.
Lenders filed foreclosure-related filings including default notices, scheduled auctions and bank repossessions against 261,333 U.S. homes in January, up 1 percent from December but down 17 percent from a year ago, RealtyTrac said.