Q3 Foreclosure Activity Up in 32 States

“It’s really nothing more than housekeeping on the part of the banks and not a cause for concern”, said Matthew Gardner, chief economist at Windermere Real Estate, covering the Seattle market.

RealtyTrac data show the number of bank repossessions, the final stage in the foreclosure process, more than doubled in the county year-over-year.

Realty Trac says foreclosure starts in Florida were down 28 percent from a year ago, and scheduled foreclosure auctions were down 46 percent year-over-year.

Foreclosure activity in the state rose 27 percent from a year ago, with one in every 171 housing units facing a foreclosure filing during the quarter – more than twice the national average.

Hopeful homeowners could potentially benefit from the availability of homes at discounted prices, though buying a foreclosed property can be a hard undertaking, and areas with high rates of foreclosure can suffer from depressed home values.

“The third-quarter increases are a sign that the foreclosure market has settled into a normalized pattern close to or even below precrisis levels, and in those states the overall housing market should easily absorb the additional foreclosure activity with little impact on home values”, added Blomquist.

Last month, lending institutions filed 790 foreclosure-related notices across the region, up 77.1 percent from the same month in 2014, according to RealtyTrac, a foreclosure-monitoring service based in Irvine, Calif. Among states, Florida came in second after New Jersey in the rate of foreclosure activity.

Florida cities have not done well as the housing bubble recovery has continued.

In Florida, 55,144 homes, or one in every 186 housing units, had a foreclosure filing during the quarter.

Meanwhile, Florida, which once topped the nation in terms of foreclosure activity, dropping to second place behind New Jersey. As the housing market improves, the trend has been lost for many people. That helps a market that doesn’t have enough houses for sale to meet demand.

On a 12-month rolling basis – a measure that smooths out monthly swings – foreclosure activity was down by 25 percent in Sarasota-Manatee and by 12.5 percent in Charlotte.

Foreclosure activity spiked in September in Hampton Roads, according to a report set to be released this morning. Bank repossessions increased year-over-year for the seventh consecutive month in September.