“Read the Positive for Massachusetts Foreclosures”
We do a lot of mortgages in Massachusetts, so reading that foreclosure activity is down, is wonderful news. The challenges that we have encountered in the mortgage process is appraisals. In 2009 and 2010, when we were doing a refinance, one in five appraisals have come in below the estimated value. When it came to purchases for the same period, one in eight appraisal came in below the sales price.
In 2011 appraisal issues have been a relatively minor issue, which is great and a good sign that values are much more stable.
By Evan Nemeroff
Foreclosure activity in Massachusetts followed a similar year-over-year trend in September as the prior 11 months: it went down.
Both petitions and deeds declined by double-digit percentages this September from the same month in 2010, according to the Boston-based real estate publication company The Warren Group.
In September 2011, foreclosure petitions fell 51% from the same month last year. There were only 1,164 petitions filed in the Bay State this September compared to 2,358 in September 2010.
For the year, there has been a total of 9,417 foreclosure petitions initiated, a decrease of 55% from the first nine months of 2010.
Foreclosure deeds also were down this September by 17%, as there was a total of 737 deeds recorded compared to 890 in the same month last year. In 2011, there has been 6,204 foreclosure deeds filed, which is 42% lower than the same time period last year.
The Warren Group said auction announcements have dropped by 33% year-over-year to 1,545 from 2,301. From January through September, 12,918 auctions have been announced, a 43% decline from 22,757 auctions during the same period in 2010.
Despite year-over-year monthly foreclosure activity dropping, the company said overall third quarter activity increased in 2011 compared to previous quarters this year. In the third quarter, a total of 4,002 petitions were filed, up from 2,535 and 2,880 in the first and second quarters, respectively.
“This indicates banks are moving more aggressively against borrowers who have fallen behind on their mortgage payments,” said Timothy Warren Jr., CEO of The Warren Group. “In order for the market to recover, the glut of foreclosures hanging over the market needs to go through the system.”
Joe Petrowsky, NMLS #6869
Right Trac Financial Group, Inc. NMLS #2709
110 Main St.
Manchester, Ct. 06042
Office: 860 647-7701 x116
Fax: 860 647-8940
Cell: 860 836-9294
Joe Petrowsky does not guarantee nor is in any way responsible for the accuracy of the information provided herein, and provides said information without warranties of any kind, either expressed or implied.
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