REO

New data from RealtyTrac shows foreclosure activity in the U.S. has fallen to its lowest level in 40 months. Filings were reported on 219,258 properties in April, down 34 percent from a year earlier. While the numbers may be an attention-grabber, RealtyTrac says they don't necessarily mean we've turned the corner since the slowdown can be traced to two specific areas of delays in processing. The curb in activity wasn't entirely widespread. REOs hit a new record high in Nevada, while defaults spiked in Massachusetts and New Jersey.

Freddie Mac's economists see some positive signs for housing in terms of affordability and low mortgage rates, but extended unemployment dampens the forecast. The average duration of unemployment was just over 38 weeks in April. The GSE says the large number of workers unemployed for a long period remains the predominant force behind seriously delinquent mortgages. According to Freddie Mac, the economy needs to add over 250,000 new jobs per month, on a sustained basis, to reabsorb all the jobs lost since the recession.

One out of every 17 homes within Ohio's three largest cities has been reported as a foreclosure since the beginning of 2009. That's a rate equal to more than one home falling into foreclosure for every city block, according to the nonprofit community advocacy group National People's Action. After a 27-month long study, the organization found that since 2009, foreclosures have resulted in an estimated total loss of $1.6 billion in property values for homeowners in Cincinnati, Cleveland, and Columbus, and cost local governments in those cities nearly $30 million.

Integrated Asset Services (IAS) says the size and scope of home price declines are accelerating across the nation. The firm's IAS360 House Price Index declined another 2.6 percent over the first three months of 2011. At the end of March, the IAS360 was standing at a level not seen since the second quarter of 2003. The company says foreclosures are expected to rise to 1.2 million this year, adding to an already engorged housing supply and exerting further downward pressure on property values.

A new product from Aon Underwriting Managers will offer financial institutions that own or service mortgage loan portfolios the ability to combine insurance coverage. Aon's Global Portfolio Protection Program (GP3) offers mortgage impairment protection, mortgagee errors and omissions coverage, foreclosed/real estate-owned property and liability insurance, and force-placed hazard and flood insurance in one insurance policy.

Data released by the National Association of Realtors Tuesday show that distressed properties - including bank-owned homes and pre-foreclosure short sales - made up 39 percent of the first quarter's existing-home sales. Overall, sales of previously owned homes rose to an annual rate of 5.14 million units during the first three months of this year. That pace is 8.3 percent higher than during the previous quarter and essentially flat compared to the same period last year.

Integrated Mortgage Solutions (IMS), a provider of property preservation and rehabilitation services to mortgage lenders and servicers, will offer a new remediation process for Chinese drywall, which releases dangerous sulfur compounds into the air, particularly in warm, moist environments. IMS' biochemical remediation process does not require the complete removal of existing wallboard. The on-location, ""in-situ"" process is completed in as little as one-third the time of traditional methods and reduces overall costs by up to 50 percent.

CoreLogic says its home price index has posted year-over-year declines for eight months in a row now. The company's latest reading shows home prices nationally fell 7.5 percent in March 2011 compared to March 2010 when distressed sales - including REO and short sale transactions - are factored into the equation. The data clearly demonstrates the extent to which pre- and post-foreclosure sales are weighing down overall market assessments. CoreLogic says if you take out the distressed factor, home prices are down just 0.96 percent from a year ago.

Real estate data company MRIS recently unveiled an enhancement to the MLS system with a tool to simplify photo uploading for real estate professionals. Dubbed Media Connect, the company says its technology supports agent listings with 80 percent faster upload times. The MRIS system currently hosts more than 70,000 active real estate listings with over 1 million new photos added so far in 2011.

North Carolina real estate firm Jewell Realty, which specializes in bank-owned REO, foreclosed, and distressed properties in the commercial real estate sector, has launched a new Web site, which the company says is primarily a one-stop resource for quality commercial REO properties and other choice commercial bank foreclosures. Buyers can search for a private residence, a community development, a warehouse, an office building, and even open land.