Foreclosure inventories rise again

The impact of foreclosures should continue to be felt in real estate markets across the country in the coming months, as the number of distressed properties has risen.

According to Lender Processing Services, the number of foreclosed homes nationwide has now risen for five consecutive months as the rate of foreclosure sales has slowed considerably, leaving more distressed properties on the market.

According to the report, while the overall loan delinquency rate has slowed, it still remains more than double its historic average, while the inventory of foreclosures is 7.7 times higher than normal levels.

Despite the fact that Texas has avoided much of the foreclosure crisis over the past few months, the number of non-current loans in the state has increased by 0.3 percent over the last six months to 11 percent, meaning that local borrowers continue to have trouble paying their bills, which could lead to higher numbers of foreclosures in the coming months.

While the Houston real estate market has remained relatively stable, the number of Houston foreclosures remains important in the marketplace, as the Houston Association of Realtors reports that they made up nearly one in five home sales during the month of November.