IRVINE, CA—US foreclosure filings decreased 5% in May from the previous month and 26% from May 2013, according to a report from RealtyTrac. Foreclosure activity is now at the lowest monthly level nationwide since December 2006.
Still, despite the decrease in overall foreclosure activity nationwide, there are still 21 states that posted monthly increase in overall foreclosure activity last month, and 11 states posted annual increases in foreclosure activity. States with annual increases included Massachusetts, New Jersey, New York and Indiana.
According to Daren Blomquist, VP of RealtyTrac, “It’s not surprising that some of the states with the longest foreclosure timelines are those with markets still dealing with increasing foreclosure activity even as the country as a whole continues to hit new lows. On the other hand, the increase in bank repossessions in some states with shorter foreclosure timelines like California and Oregon demonstrates there is still some pent-up foreclosure activity in those states as well.”
This counter-trend is not expected to last long, however. Blomquist tells GlobeSt.com, “In most states with the late foreclosure surge this year, we expect the numbers to turn a corner and start heading lower in the first half of next year.”
The report also reveals that bank repossessions on a nationwide basis are at their lowest level since July 2007, but are up in New York, New Jersey, Connecticut, Maryland, Oregon and California; US foreclosure auctions are at their lowest level since December 2006, but are up in 16 states; US foreclosure starts are at their lowest level since December 2005, but are up in 12 states; and Florida, Maryland, Nevada, Illinois and Ohio posted the top state foreclosure rates in the country.
As GlobeSt.com reported in May, the number of US homes repossessed by banks rose 4% in April from a year ago, despite the fact that total US foreclosure activity decreased 1% from the previous month and 20% from April 2013. According to a report from RealtyTrac, bank REOs were reported on 115,830 properties nationwide last month, and one in every 1,137 housing units had a foreclosure filing during April.