Record Quarterly Foreclosures: Up 23% from Q3 2008
via CNN/Money
>
I meant to touch upon this yesterday: Foreclosure filings — default notices, scheduled auctions and bank repossessions — have surged to record highs — in Q3, there were 937,840 properties. That is a quarterly increase of 5%, and a year over year gain of 23%.
During Q3, one in every 136 U.S. housing units received a foreclosure filing — a record high. This quarter was the worst 3 month period since the great Depression.
In yet another astonishing data point, just 6 states account for 62% of US total foreclosures: California, Florida, Arizona, Nevada, Illinois and Michigan are the leading states in terms of receiving foreclosure filings. As the chart above shows, California, Florida, Arizona, and Nevada have the greatest foreclosure activity.
States with the greatest foreclosure activity have also seen the most significant price decreases, leading to increased purchases.
>
See also:
US Foreclosure Activity
Sources:
U.S. FORECLOSURE ACTIVITY INCREASES 5 PERCENT IN Q3
RealtyTrac Otober 15, 2009
http://www.realtytrac.com/contentmanagement/pressrelease.aspx?channelid=9&accnt=0&itemid=7706
Foreclosures: ‘Worst three months of all time’
Les Christie
CNNMoney October 15, 2009
http://money.cnn.com/2009/10/15/real_estate/foreclosure_crisis_deepens/
October 16th, 2009 at 8:50 am
Gives a whole new meaning to the concept of “red state”….um…..well, maybe not…..
October 16th, 2009 at 8:55 am
. . and it’s by no means over yet . . .
October 16th, 2009 at 9:25 am
Mini economic boom: Industrial Production best in 4 years! Now will you guys listen to me? Probably not as I’m sure you’re all looking for something “bad” in that report to support you doom.
October 16th, 2009 at 9:29 am
All contrived numbers, Harry. It’s a con game. Can you make money in a con game? Sure. Just have to beat the crowd to the exit.
October 16th, 2009 at 9:36 am
Wunsacon: I know you liberals weren’t happy when George W. was in office but now that you control everything in Washington, please do explain for the rest of us lunk heads how the IP numbers are all contrived and a con game. How is that and why is that?
Are the negative foreclosure numbers above — which come from a private, for profit company selling high cost online subscriptions to FORECLOSURE LISTINGS — not a con and not contrived? And why is that?
October 16th, 2009 at 9:36 am
On the ground here in Phoenix, folks. This is another investor-led “recovery.” Investors are coming in with gobs of cash and buying multiple numbers of houses, snapping them up from under the noses of first-time homebuyers trying to use the tax credit. They then turn around and rent them out, lowering rents in the process. There’s now a glut of rental property on the Phoenix market, and the apartment complexes are all going to go under.
I don’t see how this fixes the market, even though it has increased the brokerage commissions if you work for a bank and sell its REO.
October 16th, 2009 at 9:37 am
Another mini boom for a big bust.
http://www.nytimes.com/2009/10/09/business/09fha.html?_r=2
“Problems at the Federal Housing Administration, which guarantees mortgages with low down payments, are becoming so acute that some experts warn the agency might need a federal bailout. ”
Since the bottom fell out of the mortgage market, the F.H.A. has assumed a crucial role in the nation’s housing market. Created in 1934 to help lower-income and first-time buyers purchase homes, the agency now insures roughly 5.4 million single-family home mortgages, with a combined value of $675 billion.
“In addition, these loans are bundled into mortgage-backed securities and guaranteed through the Government National Mortgage Association, known as Ginnie Mae. That means the taxpayer is responsible for paying investors who own Ginnie Mae bonds when F.H.A.-backed mortgages hit trouble. ”
“F.H.A. has stepped into the void left by the private market,” Representative Maxine Waters, Democrat from California, said at the hearing. “Let’s be clear; without F.H.A., there would be no mortgage market right now.”
October 16th, 2009 at 9:42 am
a guy in my group got the brilliant idea of buying a phoenix house as an investment rental property back in april. peak ‘value’ was $400k he bought it for $200k (after it languished on the market for 10 months) so thought he got a super deal. he’s got a property management company trying to rent it out. decent traffic coming through but the quality of the potential renters is substandard and they’re all balking at the price. he needs to lower it by 20% but that would put him about $500-$600 a month in the hole. he justifies the move by saying how much lower can the price go when it’s half from the peak, he’ll retire here in 10 years and he’s got a 15- year mortgage so its affordable. idiot.
October 16th, 2009 at 9:45 am
It appears lenders aren’t stalling anymore on behalf of federal foreclosure prevention efforts. Actual repossessions are surging as well:
“The number of homes taken back by lenders increased 21 percent during the third quarter to about 238,000, according to RealtyTrac.”
“U.S. Foreclosures Rise In Thrid Quarter”
http://www.boom2bust.com/2009/10/15/u-s-foreclosures-rise-in-third-quarter/
October 16th, 2009 at 9:50 am
fyi
1st Pop – California, 36,756,666
4th Pop – Florida, 18,328,340
14th Pop – Arizona, 6,500,180
35th Pop – Nevada, 2,600,167
5th Pop – Illinois, 12,901,563
8th Pop – Michigan, 10,003,422
__________
87,090,338 of 305M US Pop = 28.5%
um
3rd Pop – New York State – Home of “Financial Capital of the World”, 19,490,297
2nd Pop – Texas State – Petro/Chemical Capital of the World ?, 24,326,974
October 16th, 2009 at 9:53 am
Now this screams dow 20,000 because there isn’t any other place to put your money! Screw the real economy. Thank you Timmy G, and Benny B.
October 16th, 2009 at 10:09 am
then we can juxtapose http://clusty.com/search?input-form=clusty-simple&v%3Asources=webplus&query=foreclosed+homes+deteriorating
http://clusty.com/search?input-form=clusty-simple&v%3Asources=webplus&query=U.S.+homelessness+rising
http://clusty.com/search?input-form=clusty-simple&v%3Asources=webplus&query=Know+the+Federal+Reserve
One man built his house on a foundation of rock; the other put his house on a foundation of sand..
October 16th, 2009 at 10:11 am
Justin,
Remember that’s Turbo Tax Timmy G
October 16th, 2009 at 11:25 am
hardaway Says:
October 16th, 2009 at 9:36 am
On the ground here in Phoenix, folks. This is another investor-led “recovery.”
A couple of three years ago some smart money investors told me they were going to wait for housing to crash and then vulture in. Maybe some of them are getting to the gates early to avoid the rush?
October 16th, 2009 at 11:45 am
Context people context. The six states that represent 62% of foreclosures account for over 30% of the total US population.
October 16th, 2009 at 11:57 am
@Thor: Is that all?
October 16th, 2009 at 12:08 pm
Manny – well it is early in the morning, and I’ve never been so good with math. I’m just sayin’ – it’s good to put things in context and to choose words carefully. The foreclosure numbers are “astonishing” when you say “these six states” it’s just “really bad” when you put the numbers in context
October 16th, 2009 at 10:02 pm
GetALife, I’ve been out of pocket. Please elaborate on your question. I’ll check back here later (or tomorrow) and try to respond.
October 17th, 2009 at 5:32 am
[...] Record Quarterly Foreclosures: Up 23% from Q3 2008 at The Big Picture [...]
October 17th, 2009 at 3:31 pm
It is a big contest between the real estate industry and the banking industry to see who can suck the most out of the taxpayers. The TBTF banks are more centralized and more connected to D.C. powers, but the wider dispersed real estate industry milks governments at all levels. The TBTF banks get trillion dollar bailouts and market manipulating mark to mythology accounting, while the real estate industry gets guaranteed loans and favorable zoning to build in swamps and develop sprawl. It’s central planning versus guerrilla warfare. Did central planning save USSR? Did guerrilla warfare build an empire? Meanwhile, the medical industry has cut a fat hog by getting hands in all pockets, and it is finding the Fed’s increasingly attractive. Ying, yang and flim-flam and everyone lived happily ever after.
October 18th, 2009 at 7:51 pm
[...] The pace of failures has slowed somewhat in recent weeks even as the outlook for small banks remains grim. Regulators continue to worry about the concentration and condition of commercial real estate loans banks are carrying on their books. Home foreclosures are at a record high. [...]
October 18th, 2009 at 11:00 pm
[...] economy, or the news, or the facts than it does about me or you. It doesn’t care about the alarming ramp in the foreclosure rate (highest ever!), the disappearance of consumer credit, the divergences in super-duper bank [...]
October 19th, 2009 at 2:56 pm
[...] here, you may want to subscribe to my RSS feed. Thanks for visiting!Stimulating news from CNN (via The Big Picture): it was the “worst three months of all time” for [...]
October 19th, 2009 at 11:56 pm
[...] Worst 3 Month Period Since Great Depression CNN reported that there were more foreclosure filings any time since the great depression. Just 6 states [...]
October 21st, 2009 at 8:30 am
[...] fascination, and generalized race pride when it comes to the 44th president. Times are just too dire. What I need is some high quality affordable health care with a strong public option. For one of [...]