Foreclosure Activity Decreases 7% in November -- Has the sky stopped falling or are banks just worn out?
Here in Georgia the Foreclosure Process moves relatively quickly less then 6 months from 1st missed payment to courthouse sale. Therefore, If November Filings are down what is the impact to listings and sales.
Well looking 3 months out we could see a decrees in real sale listings available combine this overlaps our springtime increase buyer activity and expected Federal controlled lower interest rates expecting to reach 4%, we could be building towards a perfect storm for both buyers and traditional home sellers.
Dec 11, 2008-RealtyTrac®, an online marketplace for foreclosure properties, released its November 2008 U.S. Foreclosure Market ReportTM, which shows foreclosure filings - default notices, auction sale notices and bank repossessions - were reported on 259,085 U.S. properties during the month, a 7 percent decrease from the previous month but still up 28 percent from November 2007. The report also shows one in every 488 U.S. housing units received a foreclosure filing in November.
Foreclosure activity in November hit the lowest level we've seen since June thanks in part to recently enacted laws that have extended the foreclosure process in some states, along with more aggressive loan modification programs and self-imposed holiday foreclosure moratoriums introduced by some lenders," said James J. Saccacio, chief executive officer of RealtyTrac. "There are several indications, however, that this lower activity is simply a temporary lull before another foreclosure storm hits in the coming months.
"Delinquencies on loans not yet in the foreclosure process jumped to nearly 7 percent in the third quarter, a record high, according to the Mortgage Bankers Association," Saccacio continued. "And more than half of the homeowners who received loan modifications to reduce monthly mortgage payments in the first half of 2008 are already delinquent on their loans again, according to the U.S. Office of Thrift Supervision. Many of these delinquencies could turn into foreclosures next year."
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