Foreclosures News

Searching shadows for end to foreclosure crisis

2012-03-31T22:35:00.000+03:00

WEST PALM BEACH, Fla.—When Frank Verna pulls up to a battered, four-unit apartment building at lunch hour, he's just over a mile as the seagull flies from the gated oceanfront palaces of South Florida's wealthiest.

But this stretch of 21st Street, pocked by homes with boarded-up windows and dead-ending at railroad tracks, is unlikely to make it to a tourism poster. Verna turns the car around in case he needs to make a quick exit and reaches into the center console for a Smith & Wesson M&P40. The real estate agent tucks the pistol into his jeans.

"Just watch your step," he says, pulling back the tangle of bushes grown across the building's entry path. Beyond is the darkened doorway to Unit 1 -- missing its door.

"I think there's a dead animal over there," says Verna, traces of New York's Queens still present in his accent despite two decades in the Sunshine State. He aims his flashlight at a mat of brown fur in the center of a living-room floor blanketed in garbage. The stench of whatever's in there is already potent and the summer heat is still months away. Nobody is home.

Verna is here because he specializes in distressed properties and Florida, thrashed by the mortgage and foreclosure disaster, has thousands of them. But figuring out just how many is not so simple.

Foreclosure Deal Credits Banks for Routine Efforts

2012-03-30T17:46:00.000+03:00

In February, JPMorgan Chase donated a home to an Iraq war veteran in Bucoda, Wash., and Bank of America waived the $140,000 debt that a Florida man still owed after the sale of his foreclosed home. Over the last year, Wells Fargo has demolished about a dozen houses in Cleveland.

Banks do things like this — real estate transactions that do nothing to prevent foreclosure — all the time. But beginning this month, they can count such activities as part of their new commitment to help people stay in their homes.

That commitment comes under the landmark $25 billion foreclosure abuse settlement between the government and five major banks announced last month. The settlement promises that of the $25 billion, the banks will give $17 billion “in assistance to borrowers who have the intent and ability to stay in their homes,” according to a summary of the settlement. But more than half of that money can be used in ways that will not stop foreclosures, including some activities that are already standard bank practices.

For example, the banks can wipe out more than $2 billion of their obligation by donating or demolishing abandoned houses. Almost $1 billion can be used to help families that have already defaulted move out.

Oregon foreclosures jump 20 percent

2010-07-05T20:54:00.001+03:00

PORTLAND, Ore. (AP) - Along with grass seed, hazelnuts and Christmas trees, Oregon is becoming a national leader of another
kind.

The rate at which Oregonians are falling into foreclosure unexpectedly jumped 20 percent in the first quarter, making Oregon No. 3 in the country.

The Beaver State still ranks far behind longtime foreclosure champs Nevada and Florida. But the rate of increase in Oregon has
put it in the top five.

Oregon's foreclosure hot spots are Crook, Deschutes, Jefferson, Josephine, Jackson, Klamath, Yamhill, Columbia and Curry counties.

The state's senior economist says the rising foreclosure numbers are in part a function of timing. Oregon was late to enter the recession, so its foreclosure rate will likely stay higher longer.

Hawaii Foreclosures Reach Record High for December

2010-01-14T22:47:00.001+02:00

he real estate research firm RealtyTrac says there were a record-high 1,534 foreclosure filings in Hawaii last month.

The previous high of 990 was reached in July.

The December count was about triple the 499 filings in December 2008.

According to RealtyTrac, Hawaii now has the 10th-highest rate of foreclosures among states as measured by the number of households per foreclosure filing. Previously Hawaii had not ranked worse than 15th.

The December rate in the islands was equal to one filing for every 330 households. Nationally, the rate was one filing per 366 households.

Miami-Dade Now Largest County Selling Foreclosures Online

2010-01-13T22:34:00.000+02:00

Bidders from around the world have started buying foreclosure properties online from Miami-Dade, the largest county in the United States to auction distressed properties over the Internet – and the 12th county to do so in Florida, one of the state’s hit hardest by the housing crisis.

About 40 properties were auctioned on Monday, the first day of Miami-Dade’s online program. Local officials predict that as many as 300 homes and commercial properties could be sold daily. That’s three times the number sold at the courthouse.

The online program will help administrators move more quickly through a backlog of 115,000 foreclosures.

“This couldn’t be happening at a better time for us,” Miami-Dade Clerk of Courts Harvey Ruvin told the Miami Herald. “We are in an enormous avalanche of foreclosures. We have over 110,000 open foreclosure files, with an additional 7,000 coming in each month.”

Don't blame O'Malley for foreclosuresIn her January 4 column, "State Fails to Stem the Tide of Foreclosures," Marta Mossburg seems to have some proble

2010-01-09T11:08:00.001+02:00

In her January 4 column, "State Fails to Stem the Tide of Foreclosures," Marta Mossburg seems to have some problem deciding whom to blame for the tide of foreclosures hitting Maryland and the nation. Is it Gov. Martin O'Malley? Is it the Maryland Department of Housing and Community Development? Is it the banks and other lenders? Or, are the consumers to blame themselves? Who can tell from the disjointed column with which we are presented?

Ms. Mossburg writes, "The bigger issue is that most problems are out of state hands, even if they are having dire consequences on local tax revenue. The governor cannot prevent people from losing their jobs. And not even the federal government can force lenders to modify loans on its time frame." Well, she's right about that one.

NC Foreclosure Filings up by 17 Percent in 2009

2010-01-07T23:47:00.000+02:00

he increase in the number of North Carolina homeowners on the verge of losing their homes by foreclosure more than doubled in 2009 compared to the year before, according to state court records.

Foreclosure filings in the state's courts rose by 17.4 percent from 53,960 at the end of 2008 to 63,341 through last week, the Administrative Office of the Courts said. The 2008 total was 8.6 percent higher compared to 2007, according to the data.

Unemployment above 10 percent and stable or slightly falling home prices — making it difficult for owners to recoup enough from sales to pay off their mortgages — contributed to the increase in filings, deputy state banking commissioner Mark Pearce said.

"The best predictor of foreclosure and defaults is how much people owe on their property compared to what it's worth," Pearce said.

Housing Animal Spirits to Be Banished by Prime Foreclosures

2010-01-05T21:35:00.000+02:00

By Kathleen M. Howley and Mike Dorning

Jan. 4 (Bloomberg) -- Homeowners with the best credit are the next big risk for the U.S. housing market.

An increase in mortgage defaults among prime borrowers in 2009 is likely to accelerate this year, slowing the real estate recovery even as Americans become more optimistic about the economy, said Robert Shiller and Karl Case, the economists who created the S&P/Case-Shiller Home Price Index.

“There will be continuing foreclosures, and not just subprime, it will be prime mortgages,” Shiller, a professor at Yale University, said in an interview. “This is creating a huge shadow inventory of homes that are still owned, but they’re going to be on the market in the next year or so.”

Foreclosures Weigh on Home Appraisals

2010-01-03T21:55:00.001+02:00

Scheri, a real estate appraiser, had sized up a three-bedroom, two-bath house in Santa Ana, Calif., for $30,000 less than what the buyers offered to pay. A typical deal-killer for a seller.

The agent urged the lender to force Scheri to consider several other properties that could back up the original $310,000 sale price. Then he tried good old-fashioned guilt, telling Scheri her appraisal was going to ruin the buyers' shot at the American Dream.

"That's what he laid on me," Scheri recalled. "And I said, 'Don't you care they could be potentially spending $30,000 too much for a house?"

Across the country, agents and homebuilders are complaining too many appraisals are coming in low, scuttling deals.

Mass. foreclosures fall

2009-12-30T21:34:00.001+02:00

Fewer Massachusetts homeowners lost their homes to foreclosure in November than the month before, according to data released today by the Warren Group, a private company that tracks real-estate numbers.

The number of foreclosure deeds, documents that represents completed foreclosures, fell 23.1 percent to 701 in November from 912 in October, according to the Warren Group.

The number of foreclosure petitions, the first part of the foreclosure process, dropped below 2,000 in November for the first time since January.

Timothy M. Warren Jr., chief executive of the Warren Group, said that despite positive news, the state's foreclosure problem is not going away. Foreclosure petitions, while down from October, jumped 45.1 percent to 2,296 in November from the same month a year ago. Foreclosure deeds are falling partly because of a recent land court decision that has forced some lenders to hold off on recording deeds until they file proper paperwork.

State’s top court orders foreclosure mediation program

2009-12-29T19:00:00.000+02:00

The Florida Supreme Court directed judges to refer all new foreclosure cases involving primary residences to mediation, in hopes of easing a glut of foreclosures that is clogging the court system. More than 456,000 foreclosure cases currently are pending in Florida, which has the nation’s highest foreclosure rate.

“The crisis continues unabated,” said the 10-page order signed by Chief Justice Peggy Quince, which adopted most of the recommendations of a task force that included Manatee County’s top judge.

The order directs the chief judges of Florida’s 20 judicial circuits to issue administrative orders implementing the mediation requirement, but doesn’t set a deadline for doing so. It probably won’t be in place locally until spring at the earliest, 12th Judicial Circuit Chief Judge Lee Haworth said.

“We’re going to have several challenges in getting this thing implemented quickly,” he said. “It’s not going to happen overnight.”

In mediation, a neutral outside party tries to get both sides in a case to reach a settlement.

The mediation requirement will apply only to foreclosure cases filed after the local order is issued and on loans involving a borrower’s primary residence that were originated under federal truth-in-lending regulations. The requirement can be waived if the lender and borrower both agree to opt out or pre-suit mediation had been conducted.

The condo meltdown in Las Vegas mirrors Miami's

2009-12-28T14:14:00.000+02:00

AS VEGAS -- With foreclosures soaring and home prices in the tank, Miami and Las Vegas often compete for the dubious distinction of being the nation's hardest hit condo market.

Just a few years ago the two cities shared a reputation as invincible boom towns. Now both real estate markets are climbing out of an abyss of stalled condo developments, spiraling foreclosures and stymied sales.

Trying to figure out which is the biggest real estate loser isn't so easy. But comparing the two markets puts into perspective just how unprecedented Miami's condo explosion was.

``They built less in Las Vegas than in Miami,'' but there are fewer potential buyers, said Marty Burger, president and chief executive of Artisan Real Estate Ventures in Las Vegas.

Where's The Plan On Foreclosures? Force Banks To Reduce Loans!

2009-12-26T10:01:00.001+02:00

Some people may not like them, but we've got very detailed plans to help the banks, create jobs and improve health care. But where's the plan to help families facing foreclosures? What's the air date for the primetime address on how to prevent potentially over a million families from losing the roof over their heads in 2010?

The only plan I know about involves relying on the good faith effort of banks. In other words, there is no plan because there is no good faith. And, as we know, the Administration's Home Affordable Modification Program, also known as HAMP, has been deemed a failure.

Maine Boosting Number of Foreclosure Counselors

2009-12-25T14:17:00.000+02:00

With more than 7,000 Mainers already in default on their mortgages, the state is boosting the number counselors to help homeowners avoid foreclosures.

The Bureau of Consumer Credit Protection says it's working to add four nonprofit licensing agencies to the two now under contract, with the goal of adding at least six certified counselors statewide.

Bureau Superintendent Will Lund said each housing counselor can assist up to 125 homeowners to prevent foreclosure each year.

Funding for the counselors comes from assessments on lenders at foreclosure auctions. The effort to assist homeowners was the result of legislation that took effect in September.

jethro tull

2009-04-14T00:18:00.002+03:00

lovely

Newark homeowners get foreclosure aid

2009-04-03T20:10:00.001+03:00

NEWARK, N.J. - Residents in New Jersey's largest city will get help to keep their homes Friday.

Lenders, housing counselors and mortgage advisers want to try to reduce the number of foreclosures in Newark.

Foreclosure filings in the city rose 34 percent to 2,676 last year. Another 2,500 homeowners are at risk of losing their homes.

Newark housing director Michael Meyer says homes are boarded up along entire blocks and in neighboring communities.

Homestead, Fla., hit by foreclosures

2009-03-29T10:05:00.000+03:00

HOMESTEAD, Fla. (AP) — Seventeen years after Hurricane Andrew leveled much of southern Miami-Dade County, a different kind of storm is devastating households here: foreclosures.

In certain ZIP codes in places like Homestead and Florida City, around 25 percent of the homes are in one stage of foreclosure or another. Countless others were built by developers and sit vacant in ghostly subdivisions, with not a buyer in sight.

In the days after Andrew, then-Dade County Emergency Management Director Kate Hale famously said on national TV: "Where the hell is the cavalry on this one?"

The same could be asked now, in this new disaster. People in south Miami-Dade — just like people in foreclosure-strewn cities across the nation — are wondering: How did we get here?

And, what's next?

Foreclosures flood Tempe market

2009-03-25T13:48:00.000+02:00

Foreclosure activity in January represented 48 percent or 3,370 of the home-resale transactions. There were 3,590 traditional market transactions, according to a recent report from the Realty Studies department at Arizona State University.

In Tempe, 30 of the 80 homes sold in January, or 38 percent, involved foreclosures. In Scottsdale the rate was 35 percent, and in Surprise it spiked to 51 percent. The median price for foreclosed home sales in Tempe was $175,800, compared with $205,000 for traditional sales.

A year ago in January, the median price of sales in Tempe was $224,500 for foreclosed homes and $243,000 for traditional sales.

Still, the 30 foreclosures in Tempe in January 2009 paled in comparison with the numbers in other Valley cities. There were 310 in Mesa, 165 in Gilbert, 140 in Chandler, 255 in Glendale and 1,235 in Phoenix.

Senate to hear foreclosure bill

2009-03-24T19:24:00.000+02:00

PROVIDENCE, R.I. (WPRI) - The Senate Judiciary Committee will hold another hearing on a bill that would place a 180-day moratorium on foreclosures. The proposed law will go before the committee Tuesday afternoon.

Sen. Charles J. Levesque introduced the bill, which would be a temporary, emergency measure that would allow the General Assembly to develop another law requiring judicial review of mortgage foreclosures in the state.

Sales of previously occupied homes rise

2009-03-24T15:44:00.001+02:00

WASHINGTON - Sales of previously occupied homes rose unexpectedly in February by the largest percentage increase in nearly six years, as first-time buyers took advantage of deep discounts on foreclosures and other distressed properties.

Economists said sales, while still at lows not seen since 1997, might be coming to life after declining sharply after the stock market plunge last fall. But prices are expected to keep falling well into the year. Tens of thousands of homes are tied up in the foreclosure process and not yet for sale. And as the recession deepens and job losses mount, many prospective buyers are likely to stay on the sidelines.

"The four-letter word in the housing market is jobs," said Nicolas Retsinas, director of Harvard University's Joint Center for Housing Studies. "If you're worried about having a job tomorrow, you're not likely to buy a home now."

Rates have dropped, but are more foreclosures likely due to layoffs?

2009-03-23T10:54:00.000+02:00

Colorado foreclosures are forecasted to drop by as much as half compared to the same quarter last year, according to a report issued Friday by the Division of Housing.

But experts say the trouble is not over yet.

The preliminary first fiscal quarter report, based on early findings for only January and February, indicates that completed foreclosures in Colorado are down by half compared to the first quarter of last year.

The sampling of metropolitan counties showed that there were 2,577 completed foreclosures two-thirds of the way through the first quarter of this year. There were 5,074 completed foreclosures in the sample set of counties during the first quarter of last year.

But the director of the Colorado Division of Housing was careful to point out that the numbers do not likely reflect an accurate picture of how the recession has and will effect foreclosure rates.

L.A. apartment building foreclosures rise

2009-03-21T21:13:00.000+02:00

How foreclosures are affecting low-income renters comes from the Associated Press story datelined Los Angeles, "Renting families forced onto street as landlords lose apartments to foreclosure," at latimes.com:

The foreclosure crisis is hitting inner-cities hard as landlords default on mortgages in record numbers and foreclosures force tenants into the street. Boarded up apartment buildings have become common on impoverished city blocks while emergency shelters are swelling with mothers with children.

"The doors are busting down with people with this problem," said Mercedes Marquez, city housing general manager. "And the wave is still coming."

Nearly 35,000 homeowners in Utah are behind on their mortgages

2009-03-17T09:22:00.001+02:00

There are plenty of renters feeling the pain when their landlords fall behind on mortgages and banks repossess the properties.

"The reality is that if the bank forecloses, the tenants are going to have to move," said Kim Datwyler, executive director of the Neighborhood Nonprofit Housing Corp.

Even worse, Datwyler said, she's seeing more unsuspecting renters being given only a few day's notice before they have to get out, leaving them to scramble to find another affordable place.

"The biggest problem we've seen is the absentee landlord who isn't making payments, they don't even think to call the tenant and tell them they are going to have to find other housing," she said.

Louisiana homes threatened with foreclosure rises

2009-03-13T14:29:00.000+02:00

NEW ORLEANS - The number of Louisiana households threatened with losing their homes through foreclosure is on the rise.

That's according to RealtyTrac, a national firm that lists foreclosed properties.

In February, 678 Louisiana households received at least one foreclosure-related notice, up from 485 in January and 650 in February 2008

Ga. Senate OKs foreclosure relief measure

2009-03-10T20:36:00.000+02:00

Banks and other residential mortgage lenders would face new restrictions in Georgia under legislation approved by the Senate Tuesday aimed at reducing the state’s high rate of foreclosures.

The bill, which passed 43-9 and now heads to the House, focuses primarily on subprime loans, high-interest mortgages that are extended to borrowers with poor credit histories. In Georgia and other states, a substantial factor in the rising rate of foreclosures has been the dramatic growth in subprime loans.

The measure would require lenders to be reasonably assured that a borrower will be able to make timely mortgage payments before approving a home loan. It also would prohibit prepayment fees or penalties and “flipping” of subprime loans.