Foreclosure filings across the country during the first quarter fell to their lowest level since 2007, but that still leaves one in every 230 U.S. housing units in serious trouble, according to a first-quarter report from RealtyTrac.
Across the country, foreclosure filings — default notices, scheduled auctions and bank repossessions — were reported on 572,928 properties, down 2 percent from the previous quarter and down 16 percent from the first quarter of 2011.
The foreclosure rate in Minnesota was much lower – just one in 312 Minnesota homeowners with a mortgage was in foreclosure, but filings were down only .12 percent from last year and up 2.45 percent from the previous quarter. You can read the entire report here.
Brandon Moore, RealtyTrac's chief executive officer, warned that while the declines are positive, an increase in foreclosures starts during March in many states could mean an increase in terms of new foreclosure activity and new short sale activity in the coming months. "The dam may not burst in the next 30 to 45 days, but it will eventually burst, and everyone downstream should be prepared for that to happen," he said.
Foreclosures rates are easing for a number of reasons. Low mortgage rates – they fell again today to new record – have helped many homeowners refinance, and efforts to prevent foreclosure are ramping up in some areas. Lenders are also stepping efforts to more quickly approve short sales, helping many homeowners avoid a more costly and damaging foreclosure.
