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Huge foreclosure spikes in some states

As the foreclosure machine cranks up again, numbers soar in Pennsylvania, Maryland and several other states.

By MSN Money Partner Feb 17, 2012 4:07PM

This post comes from Jeanine Skowronski at partner site MainStreet.

 

MainStreet on MSN MoneyForeclosure activity increased by 3% in January, with certain states experiencing a sharp increase in default notices, according to RealtyTrac.

 

The firm's latest data show that properties entering the first stage of the foreclosure process increased by 100% in Maryland and 112% in Pennsylvania year-over-year. Florida, Massachusetts and Connecticut all saw default-notice spikes of more than 20% year-over-year as well.(Post continues below.)

Some states, including Florida, Illinois, Indiana and Pennsylvania, saw their foreclosure activity increase year-over-year for the first time in more than 12 months.

 

"The foreclosure machine is slowly picking up again," says Daren Blomquist, RealtyTrac's director of marketing communications. He says the latest round of numbers indicate that the foreclosure filing freeze initiated in October 2010, resulting from the robo-signing controversy, is starting to thaw after almost a year of artificially low numbers.

 

In total, foreclosure filings were reported on 210,941 U.S. properties last month, with one in every 624 U.S. housing units experiencing either a default notice, a scheduled auction or a bank repossession in January.

 

RealtyTrac expects that increases in foreclosure activity will continue due to the finalized mortgage and foreclosure settlement between 49 state attorneys general, federal officials and five of the nation's largest lenders, which was reached earlier this month.

 

"Other roadblocks to foreclosure are still in place at the state level, however, including legislation altering the foreclosure process and lawsuits against lenders," RealtyTrac CEO Brandon Moore said in a written statement. "We expect to see somewhat uneven trends in local and regional foreclosure numbers going forward as lenders work through these additional legislative and legal roadblocks."

 

Despite the marked increases in certain states, Nevada continues to post the highest foreclosure rates, with one in every 198 housing units experiencing a filing in January. It was followed by California, where one in every 265 housing units was distressed, and Arizona, where one in every 325 housing units is experiencing some stage of foreclosure.

 

Other states with high foreclosure rates include Georgia, Michigan, Florida, Illinois, Delaware, Colorado and Indiana.

 

More on MainStreet and MSN Money:

 

Tags: foreclosurehome financinghome loanshomes
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108Comments
SUSC10
Feb 20, 2012 3:35PM
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I am 48 and have had a job ever since I was 15 (even before that if you count newspaper delivering which I started when I was 12) other than a 6 month period when I was laid off back in the mid '90s. Lived in rented apartments from 19 to 32 and in that time managed to save about 40K which I used as a down payment on my first house, which I bought for 160K. I have moved a few times and am now on my third home but since then I have never purchased a home with less than 50% down, even though I could have and it was tempting to use the money on something else. My current home is worth about $270K, a bit less than what I paid for it, but only have 6 years left on mortgage. Bought my first brand new car almost three years ago and didn't even subscribe to cable TV until about 8 years ago. Bottom line is, and I know there are some people out there that hit hard times due to unforseen events in their lives, but there are also too many out there that don't know the meaning of sacrificing and living within their means, instead of thinking of the future and making the right decisions they spent away and just didn't save enough. Governments and banks certainly didn't help but those people need to look in the mirror first instead of pointing the finger. The ones that hit hard times through no fault of their own are the ones that deserve the help.
Inthishouse
Feb 17, 2012 6:48PM
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The recession ending is a media lie. 
usual suspects
Feb 17, 2012 6:12PM
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This no surprise. It's going to get even worse. Last week we were told things were all better. This all happened in a week?
Bigdaddy52501
Feb 20, 2012 5:16PM
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Personally, I do not feel or want the Gov. responsible for my life. I want them to stay the H*** out of my life. My husband and I have saved our monies, lived below our financial means. We do not have fancy phones, don't even know how to use one. We have basic cable, internet and a land line phone. But we DO NOT have any debt. All we pay is utilities, insurance, taxes. The basics, that's it. Stay out of debt or get out as quick as possible and your life will drastically improve. Don't, and you can keep crying for the Gov to fix your life: which they will never do.
plainyjaney
Feb 20, 2012 11:16AM
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Realtor here. I have dealt with several foreclosures where they process the whole thing, and the house is watched over by someone in India. So....Obama bailed out the banks with the taxpayers money, left the homeowners on the hook, and the banks can't even hire someone local to handle the whole thing - they outsource the job to someone that knows nothing about real estate in another country, and it gets screwed up even more. Talk about a joke on the American people - Obama gave the banks a break with taxpayer money and they can't even create a job or two to say thanks. This President is on the take also. Fire him.
truthinfacts
Feb 18, 2012 3:20AM
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Record debt and growing

Record foreclosures and growing

Record mortgages underwater

Reduced home values

High unemployment

Millions underemployed

Reduced value of 401K accounts

Record # of families in poverty

Record # of families on food stamps

Unpopular and unaffordable Obamacare

 

The political experts are predicting a very close presidential election this year. Unbelievable how stupid the American voters can be.

 

 

Knova
Feb 17, 2012 6:31PM
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What has improved in the economy? More debt, more borrowing, more funny jobless numbers and more unemployment benefit extension. I think a lot of people were just trying to hold on long enough to see what our welfare-handout president was going to offer to buy votes this election year. Lets subsidize some more electric car purchases or throw another 500M into a lame solar company. Instead of investing in good ideas we throw money at things that make everyone feel all warm and fuzzy
Brian Martin
Feb 20, 2012 5:59PM
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I lost my house to foreclosure and you want to know why? Because I made a bad choice and bought with-in my dreams not my means. I don't blame anyone but myself. Wake up America and take responsibility for our actions even if they result in unfortunate consequences. Neither George W or Obama had any fault in my stupidity.
VerumEternus
Feb 17, 2012 6:55PM
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With all the trillions of dollars Obama has blown, he still hasn't done anything to help families out that are facing foreclosure.  He's only delayed the bad news.....probably hoping it won't all hit the fan before the election this Fall.  Meanwhile, families are about to be homeless in record numbers. 

Obama has put more people into poverty and on food stamps than ever before in this country's history.  Instead of bailing out the banks holding these underwater mortgages, why didn't Obama give the money directly to the homeowners to keep their mortgages current while they were looking for jobs?  We're using the American taxpayers' money to save the very people that caused this mess instead of giving the money back to Americans that could really use it.  What is it about the President that he's willing to keep taking money away from regular people via taxes to save the rich bankers he says are evil?  He's a hypocrite.
Someone (Pklee527)
Feb 20, 2012 11:53AM
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For many years, America has been a country where "big is better and bigger isn't good enough". That and a sense of entitlement coupled with good ol' fashioned greed overrules any logic. Instead of saving money to put the biggest downpayment on a house, most people bought a house with little or no money down or/and deferred interest, all while having the toys and luxuries of life, like a new car or two, snowmobiles, cable tv, eating out two or three times a day, etc., and when the y lost their job, guess what? But it is always someone else's fault, right?
Ronnie Electra
Feb 20, 2012 11:42AM
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Why should this surprise anyone?  The unemployment rate is REALLY 14% nationwide  and RISING regardless of what the Democrats want us to believe. The people that have stopped looking for work or have their benefits already expired are NOT EVEN considered in the Government Report.  Come on People WAKE UP!!!!!!  ANYBODY BUT OBAMA!!!!!!!!!!!
toeheaded
Feb 18, 2012 2:26AM
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We keep hearing about how people are getting jobs now.  The economy is on the upswing.   I even heard a stupid business report women say " a job is a job right?"  Wrong.  These jobs are not paying enough to support a family let alone own a house too.  To make ends meet people are working 2 jobs because the pay is so poor.  How the hell are we going to get out of this housing crisis if no one can pay for the homes, even after the houses have been downgraded.  We all can't work at Mcdonalds.

This new 26B dollar "deal" looks like Hamp II to me.  The rules aren't even written down yet, and I want to know why the official site is a .com and not a .org.  We are getting the **** line again Obama but most of us aren't going to buy it this time.

blackcatbob
Feb 20, 2012 12:23PM
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The reality of this economy is that our currency has been inflated through the cost of fuel while real income has gone down and the value of most real property has decreased.

 

If this trend continues and our leaders are more concerned about the world economy than they are about the U.S. economy. WE continue our failed foreign policy in the middle east. We allow unsustainable legal and illegal immigration policies to continue. We continue to believe the lies that both Obama and the "out of touch" Republicans  tell us.....  

 

ALL of us will end up living under the bridge.   

rutheda
Feb 20, 2012 9:16AM
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I see alot of comments blaming the banks for forclosing, and blaming the government for not stopping it.  Where is the personal responsibility?  You purchased the house, you signed the agreement to borrow the money on the terms they put in front of you, why is anyone elses fault if you are not living up to your agreement and they foreclose onyour house?

 

Why should there haveever been mortgage bailout for anyone?  If you purchase things within you means and pay your bills the way you agreed to , there would be no foreclosures.  but the government keeps bailing people out, raising the deficit to unrealistic purportions, causing people like myself that have purchased within my means and pay my bills on time to suffer for other peoples irresponsibility.  Should we bail out the banks?  No!  it's a business, but at this point people cannot look for the government to solve their problems. surviving on the government dime, makes you part of the problem, not part of the solution.  What ever happened to Americans pride?  I remember when it was devasting and an unthinkable embarrassment if someone had to on public assitance.  Collecting food stamps had people looking at you like you were lower than low.  Now the government is giving incentives to get as many people as possible on the government dole...all this does is push us further and further toward socialism.  This Marxist ploy is the same thing Hitler used in 1933 before their great downfall.  Wake up America before it's too late!

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Willman
Feb 20, 2012 5:20PM
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Staying out of debt is excellent advise.... Buying things that you can not afford is stupid.
blackcatbob
Feb 20, 2012 1:23PM
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The free market solution to the housing crisis: 

Turn home owners into renters.

Provide a few low wage jobs to rejuvenate distressed properties. ( Of course many of these jobs will probably go to illegal immigrants)

 

And some how THEY think this is a solution to the crisis.....

 

While the U.S. Government continues the same STUPID economic policies that got us here in the first place.

 

 

 

JohnB26
Feb 20, 2012 2:54PM
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There are some things missing from these posts.  First, it was the government that encouraged all the banks to make the nothing down mortgage loans in th eearly 2000's.  Second, for the most part, it was these zero down people that were the first to default when the economy tanked, which took down a lot of the rest of us.  Third, if Fannie and Freddie hold your mortgage, you are lost.  neither of them wants to work with ANY mortgage holder on a modification or any other way to help because they do not want to go back to Congress and ask for more money.   Fannie and Freddie are the real culprits in all of this because they could have worked with the homeowners years ago and had this straightened out.  Instead, they hired all these big banks to service their loans and told them to foreclose on everything that defaults.  The government has reached a level of being pathetic.
Doug (Out in the cold)
Feb 17, 2012 7:52PM
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Wonder how long it is going to take before Congress understand that without good paying JOBS the housing market is going to continue to be in the toilet.
al 1260
Feb 18, 2012 12:37AM
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Don't look for Washingto to bail out homeowners...they can't even run the post office. As for the elected officals in Congress and Presidents they all live in a dream worl. They have no clue or any sense of reality.

toeheaded
Feb 18, 2012 2:32AM
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 The same thiefs that were in charge are still in charge.  I want to know what the fvck has changed except the pay is lower, our houses are worth much less and prices are rising?

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