"The increase in overall foreclosure activity over the last five months has been driven primarily by rapidly rising bank repossessions, which in July reached the highest level since January 2013," says Daren Blomquist, vice president at RealtyTrac. "Meanwhile foreclosure starts in July were at the lowest level since November 2005 — a nearly 10-year low that demonstrates the recent rise in bank repossessions and represents banks flushing out old distress rather than new distress being pushed into the pipeline."
Indeed, Blomquist notes that "this clearing of old distress is evident in the fact that properties foreclosed in the second quarter had been in the foreclosure process an average of 629 days, the longest in any quarter since we began tracking in the first quarter of 2007. It's also evident that the recent surge in REOs is in fact clearing out more of the bad bubble-era loans from the so-called shadow inventory."
Sixty-one percent of the loans still in the foreclosure process were originated during the housing bubble years of 2004 to 2008, down from 68 percent last year and 75 percent two years ago, Blomquist says.
Bank repossessions last month were at a 30-month high, rising in 44 states. Still, REOs were less than half their peak of 102,134 in September 2010.
REOs have increased the most from a year ago in the following states:
New Jersey: +344%
Meanwhile, foreclosure starts have fallen to pre-crisis levels and are down annually in 31 states, RealtyTrac reports. In July, there were 45,381 properties that started the foreclosure process, down 8 percent month-over-month and down 9 percent from a year ago to the lowest level since November 2005. Foreclosure starts in July were less than one quarter of the peak of 203,948 reached in 2009.
Ion Real Estate is a hand-picked team of highly respectable experienced Realtors coming together to work with you. Please contact us anytime with any questions. We look forward to serving your Colorado real estate needs. Our experience and dedicated professionalism ensures our clients have exceptional representation every step of the way. At a time where bigger isn't always better, Ion Real Estate has chosen to remain a smaller, highly focused team in order to provide a level of personal service, attention and consideration to our clients that you simply won't find elsewhere. Our decades of experience in the unique world of Denver real estate positions us advantageously to handle all of your real estate needs
I love love love coffee shops! Especially the hidden g
"After deciding to move to Denver from NYC, my father and I decided to spend our vacation in Denver back in August, for the purpose of beginning the search for a new home. My father and I contacted Marc, and he made what we thought would be a long, drawn out process seem relatively easy. Before we knew it, my father and I owned a home by the time we finished our vacation in nine days.
Marc was very professional, knowledgeable, courteous, patient and an all-around great person. He took the time to educate us, as we were first time home owners, and show us all around the Denver metro area. He also continues to follow up with us after the sale, which we really appreciate. I highly recommend Marc for your relocation needs.