ForeclosureRadar's August 2011 report showed a significant upswing in the number of Notices of Default (NODs) filed in August, to its highest level in a year.
The report states that the Notices of Default or Notice of Trustee Sale rose in nearly every state. This may have been driven by Bank of America where there was an overall increase of 116% in foreclosure starts (or NODs) in August.
According to Sean O'Toole, Founder and CEO of ForeclosureRadar.com, "Bank of America appears to be primarily responsible for the surge in foreclosure starts this month since their average time to foreclose has recently increased to more than a year. It is unclear that these foreclosures starts will lead to an increase in foreclosure sales anytime soon." The report also noted that the time to foreclose increased to 333 days, which is 49 days longer than a year ago.
California foreclosure trends
Just as we were seeing a slowing down of NODs and TS, we are now rudely awakened by the drastic upward spike. We can assume that many loans are re-setting, and the property owners are unable to meet the higher mortgage payments. But in one month?
August 2011 NODs jumped by 69.5% over the previous month, while Notice of Trustee Sale (TS) climbed by 6.06%
California's top foreclosure counties
Here are the counties and what the % increase in NODs were over the prior month
- Los Angeles County - 81.5%
- San Bernardino County - 71.3%
- Contra Costa County - 60.1%
- Orange County - 62.8%
- Riverside County -79.5%
- San Diego County - 65.2%
- Alameda County - 71.9%
- Santa Clara County - 55.6%
- Sacramento County - 84.9%
Alameda County foreclosure trends
In my neck of the woods, the jump is even more dramatic, with NODs climbing to 71.97% over the previous month, while TS was 7.78% over.
In Alameda county, here are the top foreclosure cities, and the % by which the NODS increased in August 2011
- Oakland - 58.6%
- San Leandro - 52.6%
- Pleasanton - 76.9%
- Fremont - 143.3%
- Livermore - 10.3%
- Castro Valley - 34.5%
- Hayward - 139.3%
- Alameda - 38.10%
- Newark - 72.7%
- Berkeley - 3.3%
- Union City - 72.2%
- Dublin - 172.2%
Discounted competition is entering the market
Steve Harney's KCMBlog.com posted a picture that seems to sum up why it's important to sell now. The shadow inventory is currently at 47 months (per S&P 2011 2Q Report) ..... discounted competition is coming!
Go to his blog. Read about the 5 Great Reasons to Sell Your House Today.
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