Where are foreclosures increasing the most? You might be surprised!
We’ve recently heard how well San Diego real estate is doing and how foreclosures have dropped in some of the worst hit states like California and Nevada. However, the new mortgage settlement has also cleared the roadblocks for lenders to speed up foreclosures, resulting in a large surge in new filings in some states. So who it being hit with by the foreclosure tsunami now and what does it mean for homeowners and real estate investors?
Florida
Florida remains in second place for foreclosure activity with 1 in every 328 housing units being served a foreclosure notice in August according to RealtyTrac. Statewide foreclosures rose 26% last month, with Broward County seeing a 29% increase and Palm Beach county a significant 35% rise in new notices.
Illinois
Illinois has moved into the number 1 spot with 1 in every 298 homes receiving a foreclosure notice in August 2012. That’s up 29%. Here home prices have fallen every single month since the crash. However, it also means the average distressed home is selling at a 46% discount.
New Jersey
Home prices have still been declining in New Jersey while unemployment hits a new 35 year high, mortgage delinquencies rise and foreclosure filings now exceed those in Nevada.
Connecticut
Connecticut real estate has recently seen one of the fastest increases in new foreclosures as the rate tripled. Though Massachusetts similarly saw a 65% jump and Indiana a whopping 83% increase. However, these statistics broadcast in the media are certainly a little misleading as Connecticut real estate had only 1 in every 1,130 housing units receive a foreclosure notice in August, or about half of the national average. So while it suggests big discounts are becoming available in some cities, the market is much stronger than most.
