Real estate foreclosures jump 13.5 percent in December
|January 12, 2006|
Texas tops list with 12,753 properties in foreclosure process
RealtyTrac, an online marketplace for foreclosure properties, today announced that foreclosures increased 13.5 percent nationwide from November to December.
About 81,290 properties – a rate of one new foreclosure for every 1,422 U.S. households – entered some stage of foreclosure in December, which was the highest foreclosure rate reported in 2005, according to RealtyTrac's latest Monthly U.S. Foreclosure Market Report.
RealtyTrac publishes a national database of pre-foreclosure and foreclosure properties, with more than 550,000 properties from over 2,400 counties across the country, and is the foreclosure data provider to MSN Real Estate, Yahoo! Real Estate, AOL Real Estate and HomeGain.com.
"December's higher US foreclosure rates were almost exactly the same foreclosure rates reported in October, which means that the two months with the highest numbers of foreclosures were both in the fourth quarter of 2005," said James J. Saccacio, chief executive officer of RealtyTrac. "These rising numbers to finish off the year may indicate that economic factors such as higher interest rates are making it harder for some homeowners stay current on their mortgage payments."
Texas documented the highest foreclosure rate of any state, with a 61 percent increase in new foreclosures in December. The state reported 12,753 properties entering some stage of foreclosure, one new foreclosure for every 631 households and the most new foreclosures reported by any state. Texas accounted for more than 15 percent of the nation's new foreclosures, RealtyTrac reported.
Increasing foreclosures in Ohio and Indiana kept foreclosure rates in those states among the nation's five highest for the second month in a row. Ohio reported 6,767 properties entering some stage of foreclosure, a 36 percent increase and one new foreclosure for every 707 households. Indiana reported 3,387 properties entering some stage of foreclosure, a 21 percent increase and one new foreclosure for every 746 households.
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Foreclosures jumped 30 percent in Nevada and 22 percent in Utah, and foreclosure rates in those states also ranked among five highest nationwide. Nevada reported 1,124 properties entering some stage of foreclosure, or one foreclosure for every 772 households; and Utah reported 871 properties entering some stage of foreclosure, or one foreclosure for every 882 households, according to RealtyTrac.
Foreclosure rates in Colorado, Georgia and Florida dropped out of the five highest nationwide in December. Colorado reported 1,264 properties entering some stage of foreclosure – a 53 percent decrease – and the state's foreclosure rate registered below the national average for the first time in 2005. Georgia reported 3,007 properties entering some stage of foreclosure, a 32 percent decrease and one new foreclosure for every 1,030 households. Florida reported 8,050 properties entering some stage of foreclosure, a 9 percent decrease and one new foreclosure for every 908 households.
California reported 7,674 properties entering some stage of foreclosure, a 27 percent increase and the third most new foreclosures reported by any state in December. But with new one foreclosure for every 1,592 households, the state's foreclosure rate remained below the national average. New York also maintained a foreclosure rate below the national average with 4,500 new foreclosures, a 4 percent decrease from the previous month.
RealtyTrac's report includes properties in all three phases of foreclosure: Pre-foreclosures – notice of default and lis pendens; foreclosures – notice of trustee sale and notice of foreclosure sale; and real estate-owned properties that have been foreclosed on and repurchased by a bank.
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