Friday
October 31, 2014

Foreclosures Drop 37% From a Year Ago

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Foreclosures Drop 37% From a Year Ago

In March, about 720,000 homes were in some stage of foreclosure, a 37 percent year-over-year decrease, according to CoreLogic’s March 2014 National Foreclosure Report.

“The inventory of homes in foreclosure and serious delinquency status are back to 2008 levels, yet remain elevated from a historical perspective,” says Mark Fleming, chief economist for CoreLogic. “While getting healthier, the housing market is a long way from being fully recovered. By way of comparison, distressed stock inventories are more than three times higher than the levels of the early 2000s, before the most-recent housing boom and subsequent financial crisis.”

Thirty-seven states posted declines of more than 30 percent in year-over-year foreclosure inventory. Arizona, California, and Utah saw declines of more than 50 percent, according to CoreLogic’s report.

Meanwhile, the following five states had the highest foreclosure inventory as a percentage of all homes with a mortgage:

  • New Jersey: 6%
  • Florida: 5.8%
  • New York: 4.6%
  • Maine: 3.2%
  • Hawaii: 3.1%

“The pathway to a full recovery in housing is proving to be a very long one, but lower distressed stock levels are one clear indicator that we continue to make slow-but-steady progress,” says Anand Nallathambi, president and CEO of CoreLogic. “Most states have made good progress clearing their foreclosure inventories, but states that have a longer judicial foreclosure process, such as Florida, New Jersey, and New York, continue to struggle with elevated distressed stock inventories.”

Completed foreclosures — the total number of homes actually lost to foreclosure — totaled 48,000 nationally in March, a 10 percent year-over-year decrease, according to CoreLogic. Every state, except for Wyoming and the District of Columbia, saw double-digit year-over-year decreases in completed foreclosures, CoreLogic reports.

In March, 10 percent of existing-home sales were foreclosures, according to the National Association of REALTORS®. Foreclosures sold for an average discount of 18 percent below market value in March.

Source: CoreLogic

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