SANTA ANA, Calif. – July 31, 2012 – According to CoreLogic’s National Foreclosure Report for June released today, the nation’s foreclosure inventory and sales continue to decline. According to the report, the U.S. had 60,000 completed foreclosures in June 2012 compared to 80,000 in June 2011 and 60,000 in May 2012. Completed foreclosures are an indication of the total number of homes actually lost to foreclosure.
Since the financial crisis began in September 2008, the U.S. has had about 3.7 million completed foreclosures.
Approximately 1.4 million homes – 3.4 percent of all homes with a mortgage – were in the national foreclosure inventory in June 2012, a drop from the 1.5 million in June 2011. Foreclosure inventory is the share of all mortgaged homes in some stage of the foreclosure process. Month-over-month, the national foreclosure inventory didn’t change since May.
“While completed foreclosures and real-estate owned (REO) sales virtually offset each other over the past four months, producing static levels of foreclosure inventory for most of this year, they are beginning to diverge again,” says Mark Fleming, chief economist for CoreLogic. “Over the last two months, REO sales declined while completed foreclosures leveled out – so we could see foreclosure inventory rising going forward.”
“The decline in the flow of completed foreclosures to pre-financial crisis levels is more welcome news pointing to an emerging housing market recovery,” said Anand Nallathambi, president and CEO of CoreLogic. “However, we believe even more can be done to reduce the inventory of foreclosures by decreasing the level of regulatory uncertainty and expanding alternatives to foreclosure.”
June 2012 report highlights
• Florida ranked second in total number of completed foreclosures with 91,000 for the year ending in June. California topped the list with 125,000. The three states that wrap up the top five include Michigan (58,000), Texas (56,000) and Georgia (55,000).
• The top five states for foreclosures account for 48.4 percent of all national foreclosures.
• The five states with the lowest number of completed foreclosures over the one-year period: South Dakota (39), District of Columbia (81), Hawaii (449), North Dakota (565) and Maine (625).
• While Florida had the second-highest number of foreclosure sales, it had more foreclosed homes in its inventory – measured as a percentage of total inventory – than any other state at 11.5 percent. Next in the top five for percent of inventory: New Jersey (6.5 percent), New York (5.1 percent), Illinois (5.0 percent) and Nevada (4.8 percent).
• The five states with the lowest foreclosure inventory as a percentage: Wyoming (0.6 percent), Alaska (0.8 percent), North Dakota (0.8 percent), Nebraska (0.9 percent) and South Dakota (1.2 percent).
© 2012 Florida Realtors®
Reprinted with permission. Florida Realtors®. All rights reserved.