Q-3 -- No Bottom Under Foreclosures

Nothing good in the foreclosure numbers for Q3 …

RealtyTrac released third quarter figures today for foreclosure filings on 937,840 properties, a 5 percent increase from the previous quarter and an increase of nearly 23 percent from Q3-2008.

One in every 136 U.S. housing units received a foreclosure filing during the quarter — the highest quarterly foreclosure rate since RealtyTrac began issuing its report in the first quarter of 2005.

September numbers were 4 percent less than August but 29 percent higher than September 2008. Despite fewer filings in September month-over-month, it was still the third highest monthly total since the company’s tracking began in 2005.

“REO activity increased from the previous quarter [21%] in all but two states and the District of Columbia, indicating that lenders may be starting to work through some of the pent-up foreclosure inventory caused by legislative delays, loan modification efforts and high volumes of distressed properties.”

Nevada foreclosures are still rising at an alarming rate – Q3 was 10 percent above previous quarter and 59 percent over Q3-2008 with one in 23 housing units receiving a foreclosure filing. That is six times the national average.

“Arizona posted the nation’s second highest state foreclosure rate in the third quarter, with one in every 53 housing units receiving a foreclosure filing, and California posted the nation’s third highest state foreclosure rate, also with one in every 53 housing units receiving a foreclosure filing during the quarter.

“Other states with foreclosure rates ranking among the top 10 in the third quarter were Florida, Idaho, Utah, Georgia, Michigan, Colorado and Illinois.

“Six states account for more than 60 percent of nation’s third quarter total.

“California, Florida, Arizona, Nevada, Illinois and Michigan accounted for 62 percent of the nation’s total foreclosure activity in the third quarter, with 579,541 properties receiving foreclosure filings in the six states combined. "