According to a recent article by CNN Money, foreclosures are off 30% so far this year. There are a number of different theories for why this is the case. In this article, it's suggested that one of the main reasons is the robo-signing fiaso that banks are stuck in right now.
In my last blog, I highlighted the robo-signing issue and explained why it's effecting our market. In this article, it further clarifies that pending foreclosures are in fact shrinking month-after-month so far this year. Most of this shrinking is 'artificially' created by banks holding files to get true signatures and then restarting the process. Foreclosure notices have fallen 27% in the first three months of this year when compared to the first quarter of 2010.
The most interesting part of this article for me is that Rick Sharga, RealtyTrac spokesman, said "Without the cutback there would have been 900,000 filings during the quarter instead of 681,000. There would have been 280,000 to 300,000 bank repossessions instead of 215,000." That's a 24% difference in foreclosures nationwide.
Here in Phoenix, Arizona we have seen foreclosure filings drop by about 11% in the last three months. This information helps put this dip in perspective and gives us a bigger picture of what's really going on. Click the link below for the full article:
http://money.cnn.com/2011/04/14/real_estate/foreclosures_first_quarter_2011/index.htm
For questions or more information, contact us today!
Casey Block
Bid Prestige
480-227-8222
casey@bidprestige.com
www.bidprestige.com
www.momentumaz.com
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