More foreclosures in South Florida
have listed for the month of July as lending companies are going through the remaining inventories, delaying the process of repossessing homes while they conduct their usual process of checking these properties.
For July data, there was a recorded 6% increase where homeowners receive their first default notice. This figure was high based on July of last year. This figure has continued to increase annually and has manifested in the last three months.
In Southwest Florida, Lee County posted the 25th highest foreclosure rate last month where the ratio is one foreclosure case is filed for every 45 households. While in June, the county had placed its foreclosure rate to the 10th spot with one foreclosure filed for every 322 households. This data was released by RealtyTrac last week.
In Collier County, it ranked 27th in terms of foreclosures where there is one foreclosure filed for every 431 homes and in Charlotte placed on the 35th spot where one filing is reported for every 532 homes. This data was had gone down because for the month of June Collier ranked in 23rd place with one foreclosure filed out 445 homes and Charlotte placed 13th with one filing for every 361 homes.
The upward trend in foreclosures is also a result of financial institutions backtracking on the filings that were made which exposed the “robo-signing” scandal that hit most of these organizations.
With this situation, both the lending companies and state officials have made a settlement which totaled to $25 billion last February. This settlement has allowed these financial institutions to review and update their existing inventories of distressed properties.
The number of homes that gone through the foreclosure process averages around the 104,000 monthly and started in May of this year. However this number is still considered low from the 178,000 monthly average back in 2009. This was also the same year where the highest number of properties going through the foreclosure process was ever recorded.
There is a possibility that the number of foreclosures could further increase in the next few months but most lending companies have averted the process of repossessing homes giving the homeowner a chance to make a short sale instead.
For Florida, the foreclosure rate has even gone further up for July reaching 3rd place. There is an evident increase in the state’s foreclosure rate as Florida only reached the 6th spot for foreclosure rates in June.