Industry NewsMarkets & Economy

Surge in default notices portends more REOs

Future-Proof: Navigate Threats, Seize Opportunities at ICNY 2018 | Jan 22-26 at the Marriott Marquis, Times Square, New York

Foreclosure activity fell for the 11th straight month on a yearly basis in August, but rose compared to July, according to the latest monthly report from foreclosure data site RealtyTrac. A total of 228,098 properties nationwide received foreclosure filings (including default notices, auction sale notices or bank repossessions) last month, down nearly 33 percent from August 2010, but up 7 percent from July, the report said. The nation's foreclosure activity rate was 1 in 570 housing units in August.The increase in foreclosure activity was driven by a 33 percent jump in default notices -- the biggest monthly increase since August 2007, the report said. Such notices rose to a nine-month high of 78,880 in August, though they remained 18 percent below year-ago levels.At least three states saw particularly high monthly increases in default notices: New Jersey (42 percent), Indiana (46 percent), and California (55 percent). "The big increase in new foreclosure actions may...