Foreclosure Activity Declines in First Half of 2010

Foreclosure filings — including default notices, auction sale notices and bank repossessions — dropped 5 percent in the first half of 2010 compared to the previous six months, but rose 8 percent compared to the first six months of 2009, according to RealtyTrac’s midyear report. More than 1.96 million foreclosure filings were reported during the first six months of this year on more than 1.65 million U.S. properties. One in 78 homes received at least one foreclosure filing during this time, representing 1.28 percent of all U.S. homes.

Nevada had the nation’s highest foreclosure rate during the six-month period despite logging a decline in overall foreclosure activity. About 64,429 Nevada properties, or one in 17, received a foreclosure filing from January through June, down 13 percent from the previous six months. Arizona had the second highest foreclosure rate with one in 30 properties receiving a foreclosure filing, followed by Florida where one in 32 properties received a foreclosure filing in the first six months.

For the month of June, foreclosures declined 3 percent from the previous month and 7 percent from a year ago. June marks the third straight monthly decline in foreclosure activity. Foreclosure filings were reported on 313,841 U.S. properties during the month, the 16th consecutive month that filings exceeded 300,000.

“The midyear numbers put us on pace to exceed 3 million properties with foreclosure filings by the end of the year, and more than 1 million bank repossessions,” says James J. Saccacio, RealtyTrac’s CEO. “The roller coaster pattern of foreclosure activity over the past 12 months demonstrates that while the foreclosure problem is being managed on the surface, a massive number of distressed properties and underwater loans continue to sit just below the surface, threatening the fragile stability of the housing market.” Thu, Jul 15, 2010