Home Foreclosure Statistics – Startling Information!

Foreclosures are very common not only in America but in different parts of the world. However, it is more concurrent in the United States. To begin with, a foreclosure is a legal action where a homeowner’s right to redeem mortgage will be taken away. The most usual reason behind foreclosures is because of the mortgagee’s failure to make mortgage payments. According to the newest reports of the U.S. Foreclosure Market Report on the current home foreclosure statistics, the first three months of the year 2009 is all about foreclosure filings, auction sale notice, bank repossessions and default notices on 803,489 properties. These numbers mean that there is a 9 percent increase from the preceding quarter and a rise of a shocking 24 percent from the same term in the year 2008. Simply put, one out of every one hundred and fifty-nine homes in the United States acquired foreclosure filings in the first quarter of the year, months January, February and March.

In the month of March alone, there were 341,180 reports of foreclosure filings, which translates to a 17 percent increase from February and an incredible 46 percent upsurge from the same month in the previous year, 2008. As a matter of fact, RealtyTrac, the company that records the home foreclosure statistics, stated that the March 2009 totals were the highest totals both monthly and quarterly since they started recording foreclosure reports last January 2005. They quoted that the total foreclosure activity on March was over 12 percent higher than the next month to it. Due to the fact that these activities are new actions of foreclosure, it means that numerous lenders and service providers were holding back on foreclosure executions because of legislative delays and industry moratoria. On the positive side, however, the demand is on the rise in some of the harder-hit areas, especially those REO properties that are owned by banks and seen by first time investors and buyers as “bargains”. It is not likely, though, that this increase in demand is enough to counteract the rising number of foreclosures.  

Nevada has constantly led the American states in terms of foreclosure filings. According to home foreclosure statistics, there is one out of every twenty-seven houses in the state that receives foreclosure filings. This statistics is over five times higher than the foreclosure average of the nation. 41,296 units were reported to have foreclosure filings during the initial quarter, which states a 19 percent increase from the prior quarter and a 111 percent increase from 2008’s Q1. Bank repossessions in the state went down 3 percent as well. However, defaults rose to 27 percent and auction sale notice went up by 35 percent as well. Arizona falls in second place in terms of foreclosure filing rates. In Arizona, there is one from every 54 houses that receive foreclosures. California stays close in third place, with one out of every 58 units receiving foreclosure filings. Other American states that belong to the top 10 states with most foreclosure filings are Florida, Michigan, Utah, Idaho, Oregon and Illinois.

The Internet is a great way to know more about home foreclosure statistics. Plus, you can find several tips on how to avoid constant increase in the foreclosure rates.