One in every 519 homes was in some stage of foreclosure last month, the most since the real estate marketing firm Realty Trac began marketing such data in 2005. The 243,300 filings represent a 65 % increase year over year, and a 4% increase since March.”Although only about 2% of households nationally are in foreclosure, these properties contribute to already bloated inventories of homes for sale, and put downward pressure on home values,” said James J. Saccacio, chief executive officer of Realty Trac. “Areas of California, Florida, Nevada and Arizona continue to be particularly hard-hit.
“Property tax bases are eroding, putting municipal budgets in peril. For example, the city council in Vallejo, California – part of a metropolitan area with a foreclosure rate that ranked sixth highest in the nation in April – last week voted to have the city file for bankruptcy,” Saccacio said. The White House earlier this week threatened to veto a measure that would spend $300 billion to help distressed homeowners secure a better mortgage loan and be in a better position to prevent a foreclosure. The House passed the measure last week while a similar bill is making its way through the Senate.
