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Foreclosures Drop Six Percent

Foreclosure filings fell six percent during the month of May, according to the ""U.S. Foreclosure Market Report"":http://www.realtytrac.com/ContentManagement/PressRelease.aspxxchannelid=9&ItemID=6655#statetable released by ""RealtyTrac"":http://www.realtytrac.com on Thursday. Despite the monthly decline, the nation's foreclosure numbers are nearly 18 percent higher than they were in May 2008.
RealtyTrac's report showed foreclosure filings - including default notices, scheduled auctions, and bank repossessions - were reported on 321,480 U.S. properties during the month of May. That figure represents one in every 398 homes.
James J. Saccacio, CEO of RealtyTrac, tempered the seemingly good news that foreclosure activity declined from April to May, pointing out that last month's foreclosures were the third highest on record. May also marked the third straight month where the total number of properties with foreclosure filings exceeded 300,000 — a first in the history of RealtyTrac's study.
Saccacio said, ""While defaults and scheduled foreclosure auctions were both down from the previous month, bank repossessions, or REOs, were up two percent, thanks largely to substantial increases in several states, including Michigan, Arizona, Washington, Nevada, Oregon, and New York.""
Saccacio said he expects REO activity to continue to spike in the coming months as foreclosure delays and moratoria implemented by various state laws come to an end.
Nevada continued to document the nation’s highest foreclosure rate, with one in every 64 housing units receiving a foreclosure filing during May — more than six times the national average. Nevada's 23 percent increase in bank repossessions helped push the state's foreclosure activity up five percent from the previous month.
With one in every 144 homes in California receiving a foreclosure filing last month, the Golden State posted the nation’s second highest foreclosure rate. Despite a four percent decrease in foreclosure activity from April to May, California had the highest total filings of any state. Bank repossessions in California were down one percent from the previous month and defaults were down 18 percent, but scheduled auctions rose by 18 percent.
Florida had the third highest state foreclosure rate in May, with one in every 148 housing units receiving a foreclosure filing during the month. Default notices, scheduled auctions, and bank repossessions in Florida were all down from the previous month, but the state still posted the nation’s second highest total number of properties with foreclosure filings.
Arizona came in at No. 4, with one in every 158 housing units receiving a foreclosure filing in May. Utah saw one in every 316 homes get a filing last month - the fifth highest state foreclosure rate. Other states with foreclosure rates ranking among the nation’s 10 highest were Michigan, Georgia, Colorado, Idaho, and Ohio.
Cities in Nevada, California, and Florida dominated the top 10 metro foreclosure rates in RealtyTrac's study. Las Vegas took the top honor, with one in every 54 homes filed on — more than seven times the national average. Six cities in California made the list, and three in Florida.

About Author: Carrie Bay

Carrie Bay is a freelance writer for DS News and its sister publication MReport. She served as online editor for DSNews.com from 2008 through 2011. Prior to joining DS News and the Five Star organization, she managed public relations, marketing, and media relations initiatives for several B2B companies in the financial services, technology, and telecommunications industries. She also wrote for retail and nonprofit organizations upon graduating from Texas A&M University with degrees in journalism and English.
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