Foreclosures jump to record high

foreclosures-jump-to-new-record-high
foreclosures-jump-to-new-record-high

More than 900,000 properties in the third quarter received a foreclosure filing -- which can include a default notice, scheduled auction or bank repossession, according to the U.S. Foreclosure Market Report released by RealtyTrac. That's nearly a 23 percent increase over Q3 2008, but just a five percent increase over Q2 2009. This breaks all records since RealtyTrac began issuing foreclosure reports in the first quarter of 2005.

"Bank repossessions, or REOs, jumped 21 percent from the second quarter to the third quarter, corresponding to jumps in defaults and scheduled auctions in the previous two quarters," said James J. Saccacio, chief executive officer of RealtyTrac. "REO activity increased from the previous quarter in all but two states and the District of Columbia, indicating that lenders may be starting to work through some of the pent-up foreclosure inventory caused by legislative delays, loan modification efforts and high volumes of distressed properties."