RealtyTrac '06 Report: CO, GA and NV Post Highest Rates
According to RealtyTrac's 2006 U.S. Foreclosure Market Report, 1.2 million foreclosure filings were reported nationwide during the year, up 42% from 2005 and a foreclosure rate of one foreclosure filing for every 92 U.S. households.
"While foreclosures are not at historically high levels a 42% year-over-year increase is certainly noteworthy," said James J. Saccacio, chief executive officer of RealtyTrac. "The increase in the number of properties in foreclosure was driven partly by the general slowing of overall housing sales, and partly by the impact of monthly mortgage payments increasing dramatically for homeowners who held some riskier types of adjustable rate and subprime mortgages. As more and more of these loans reset, we saw a surge to finish the year with the fourth quarter producing more foreclosure filings than any of the three previous quarters."
Colorado documented the nation's highest state foreclosure rate for the year, one foreclosure filing for every 33 households, or 3% of the state's households,. The state reported a total of 54,747 foreclosure filings during the year, an 85% increase from 2005 and the eighth highest total among all the states.
Georgia and Nevada both reported one foreclosure filing for every 41 households in 2006, but Georgia edged out Nevada with a slightly higher percentage of households in foreclosure, 2.5% compared to 2.4% in Nevada. Georgia reported a total of 75,975 foreclosure filings during the year, the sixth most of any state and a 67% year-over-year increase. Nevada foreclosures surged in the fourth quarter, pushing the its total for the year to 21,045, nearly three times the number reported in 2005.
Texas reported 156,876 foreclosure filings for the year, the most of any state and nearly 13% of the national total. The state consistently reported big foreclosure numbers throughout 2006, documenting the highest monthly total eight times, and foreclosures for the year were up more than 14% from 2005. Its foreclosure total represented nearly 2% of the state's households, or one foreclosure filing for every 51 households, giving the state the nation's fourth highest state foreclosure rate.
Rising foreclosure activity in the fourth quarter pushed California's 2006 foreclosure total to second highest among the states. The state reported 142,429 foreclosure filings during the year, more than twice the number reported in 2005 and accounting for more than 11% of the national total. California's 2006 foreclosure rate of one filing for every 86 households, or 1.2% of households, ranked 14th among states.
Florida foreclosure activity remained relatively flat in 2006, up just 2% from 2005, but the state's foreclosure total still placed third highest among all the states. Florida reported 124,721 foreclosure filings during the year, a foreclosure rate of one foreclosure filing for every 59 households, or 1.7% of households. The state's foreclosure rate dropped to seventh highest in 2006 after claiming the top spot in 2005.
With an average of more than 10,000 foreclosure filings in each quarter, Detroit documented the highest annual foreclosure rate among the nation's 100 largest metropolitan statistical areas. Foreclosure filings in the city represented 4.9% of all households, or one foreclosure filing for every 21 households. The city's foreclosure rate was 4.5 times the national average.
Atlanta's 2006 foreclosure total of 63,737 represented 4.4% of the city's households, the second highest among the top 100 MSAs and more than four times the national average. Consistently high foreclosure filings throughout the year helped Atlanta's foreclosure rate rank in the No. 2 spot despite never being higher than third place in any quarter.
Indianapolis foreclosures decreased in the second, third and fourth quarters, but the city still documented the nation's third highest metro foreclosure rate with total foreclosure filings representing 4.3% of all households. Other cities with foreclosure rates among the nation's 10 highest were Denver, Dallas, Fort Worth, Las Vegas, Memphis, Fort Lauderdale and Miami. (c) 2007 Mortgage Servicing News and SourceMedia, Inc. All Rights Reserved. http://www.mortgageservicingnews.com http://www.sourcemedia.com