Saturday, November 18, 2006

#40 On the Foreclosure List

Irvine, Calif. – Nov. 9, 2006 – RealtyTrac (, the leading online marketplace for foreclosure properties, released its Q3 2006 U.S. Metropolitan Foreclosure Market Report today. After two consecutive quarters featuring Indianapolis, Atlanta and Dallas as the three cities with the highest foreclosure rates, the third quarter report showed three new cities — Detroit, Ft. Lauderdale and Denver — posting the nation’s highest metropolitan foreclosure rates. Completing the top 10 list were Miami, Dallas, Indianapolis, Ft. Worth, Atlanta, Las Vegas and Memphis.

“The third quarter saw a marked increase in the number of properties entering some stage of foreclosure,” said James J. Saccacio, chief executive officer of RealtyTrac. “It appears that a combination of factors, including a slowdown in home sales and lower home appreciation rates are contributing to higher numbers of delinquencies. It’s also likely that part of the reason for the increased foreclosure rates is the long-anticipated effect of the first wave of adjustable rate mortgages re-setting at higher monthly payments, putting homeowners into financial distress.”

Of the top 10 cities on the list only Indianapolis reported lower foreclosure rates, with 2 percent fewer foreclosures than reported for the second quarter. The two Florida cities — Ft. Lauderdale and Miami — reported the highest foreclosure growth for the quarter with 87 percent and 97 percent respectively.

National leader Detroit reported 42 percent growth in foreclosure activity for the quarter, with Denver reporting 30 percent growth and Dallas reporting 10 percent growth. Ft. Worth reported a 14 percent increase in foreclosures, Atlanta had a 5 percent increase over second quarter activity, Las Vegas reported a 59 percent increase, and foreclosure activity in Memphis was up 2 percent over the previous quarter.

Detroit’s foreclosure rate of one new foreclosure filing for every 80 households was more than 4.5 times the national average. Ft. Lauderdale and Denver reported foreclosure rates that were
more than four times the national average, with Miami just short of four times the average. Foreclosure rates in the remaining top 10 cities exceeded three times the average except for Memphis with a rate that was 2.5 times the national average

Although it ranked 19th among the top 100 metropolitan areas, Chicago posted the most new foreclosure filings for the third quarter, reporting 16,155 properties entering some stage of the foreclosure process. Second highest total was in Atlanta, reporting 13,562 properties entering the process, followed closely by Dallas reporting 13,422 properties in the foreclosure pipeline.

Currently Bakersfield is #40 on the list. See the complete list here:

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