Foreclosures Have Gone Down
Posted on | February 12, 2012 | No Comments
The list of homes getting a foreclosure letter – from notice letter to repossession went to a 49 month low last December. Documentation delays, weak housing demands and legal issues all contributes in postponing the process of mortgage delinquencies. The total of number foreclosure filings in December is 205,024 U.S. Properties, a decrease of 20 percent from the previous year, 9 percent drop-off from the previous month and the lowest number since November of 2007. The reason for this is that lenders take 24 percent more time to foreclose a property than it did prior to the robo-signing scandal happened on the third quarter of 2011. The slackness remained longer than expected.
With the low number of foreclosures processed last year, it is expected that it will increase this year but not as high as it reached in 2010. Some experts said that the slowdown in last year was not only due to weak housing demand but also because of some paperwork delays, management mishandling, slow document reviews, holiday slowdown and other procedural concerns. These make foreclosures run under a desirable rate and therefore must be put to an end.
Housing agents claimed that they worry about the distressed properties that are just waiting to be bought as soon as possible. The servicers and lenders are controlling the movement of these properties; however, they are already planning of moving the backlogs of the distressed inventory. In the last quarter of last year, filings of U.S. Properties were reported on 586,133, a decreased of 27 percent from the same time in 2010 and a decrease of 4 percent from 2011′s third quarter. The robo-signing cut down the number of foreclosure homes to 1,900,000 in 2011, a decrease of 30 percent from 2010. Foreclosure went down to its lowest since 2007 with just 1.45 percent U.S. Properties or 1 out of 69 houses receiving the notice of foreclosure. U.S. Houses that were foreclosed in the last quarter of 2011 had an average of 348 days to finish the process, from 336 days in the 3rd quarter and 305 days in the 4th quarter of 2010.
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