Bay State Foreclosure Activity Continues Falling

Massachusetts foreclosure activity through April remained at levels dramatically lower than those recorded last year.

According to The Warren Group, foreclosure petitions fell by 79% on an annual basis. There were only 370 foreclosure starts this April, compared to 1,750 a year ago.

However, the latest monthly figures are up from March, when 284 petitions were filed. But the Boston-based firm said the recent data is still well below levels in months past that came in around 1,000 or higher.

Through April, there have been 2,450 petitions to foreclose filed in Massachusetts, down approximately 60% from the same period in 2012.

“We’re seeing foreclosure starts consistently under the 1,000 mark for six straight months and fewer than 500 for two straight months,” said Timothy M. Warren Jr., CEO of The Warren Group. “The real estate market has improved dramatically in 2013 with median prices up 11% and this has slowed foreclosures.”

Another reason for the slowdown in Massachusetts foreclosures is due to a 2012 state law that requires banks to notify borrowers of their rights to pursue a loan modification before going through the foreclosure process. 

Other highlights from the April report is that foreclosure deeds declined year-over-year by 68% to 234, while the number of advertised auction notices fell significantly with 348 announcements, a 75% drop.