RealtyTrac's July Foreclosure Market Report shows that 360,149 properties received a foreclosure filing (e.g., default notice, scheduled auction, bank repossession) during the month – an increase of nearly 7% from the previous month and an increase of 32% from July 2008. The report also shows that one in every 355 U.S. housing units received a foreclosure filing in July.
‘July marks the third time in the last five months where we've seen a new record set for foreclosure activity,’ says James J. Saccacio, CEO of RealtyTrac. ‘Despite continued efforts by the federal government and state governments to patch together a safety net for distressed homeowners, we're seeing significant growth in both the initial notices of default and in the bank repossessions.’
For the 31st consecutive month, Nevada documented the nation's highest state foreclosure rate, with one in every 56 housing units receiving a foreclosure filing in July (more than six times the national average). Initial default notices in Nevada decreased 18% from the previous month, which RealtyTrac attributes to a new state law that took effect in July and requires lenders to offer mediation to homeowners facing foreclosure. Meanwhile, scheduled auctions and bank repossessions in Nevada both increased more than 20% from the previous month.
Initial defaults in California spiked 15% from the previous month, and the state registered the nation's second highest state foreclosure rate for the third month in a row. Scheduled auctions were down 1% from the previous month, but bank repossessions were up 4%, leaving overall foreclosure activity up nearly 7% on a month-over-month basis.
Arizona, Florida, Utah, Idaho, Georgia, Illinois, Colorado and Oregon rounded out the 10 states with the highest foreclosure rates.
The top four state foreclosure activity totals in July were reported by California, with 108,104 properties receiving a foreclosure filing; Florida, with 56,486 properties receiving a foreclosure filing; Arizona, with 19,694 properties receiving a foreclosure filing; and Nevada, with 19,535 properties receiving a foreclosure filing. Together, these four states accounted for nearly 57% of the nation's total foreclosure activity.