Foreclosure filings up on a quarterly basis

Foreclosures continued to hound communities around the country in the third quarter, depressing home prices and making it harder for relocating families to sell their homes.

RealtyTrac reported that in the third quarter, foreclosure filings were reported on 930,437 properties, a 4 percent increase from the previous quarter. One in every 139 households in the country received a foreclosure notice, and lenders established a new all-time REO record, repossessing 102,134 properties in the third quarter. It was the first time repossessions had surpassed 100,000 in a single month, leaving thousands of distressed homeowners faced with moving out of their homes.

The report also addressed the foreclosure documentation controversy that has halted many foreclosure sales nationwide.

"If the lenders can resolve the documentation issue quickly, then we would expect the temporary lull in foreclosure activity to be followed by a parallel spike in activity as many of the delayed foreclosures move forward in the foreclosure process," said CEO James Saccacio, adding that if lenders cannot resolve the issue quickly, uncertainty over home prices would grow, possibly stalling home sales and moving activity nationwide. Foreclosure sales accounted for 31 percent of home sales in September, said the report.

A separate report from ForeclosureRadar.com showed that foreclosures continue to be an attractive option for buyers who desire moving into an affordable home. Foreclosure sales in Nevada and Oregon jumped significantly in September, according to that report.
 

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