Foreclosure Inventory Down to 2.2% of All Homes with a Mortgage

Foreclosure Inventory Down to 2.2% of All Homes with a MortgageThe abundant foreclosure inventory across the U.S. is easing as 48,000 foreclosures were completed in October 2013, a 30 percent year-over-year decline from 68,000 in October 2012, according to CoreLogic‘s new update.
On a month-over-month basis, completed foreclosures declined 25.6 percent.
As of October 2013, the foreclosure inventory represented 2.2 percent of all homes with a mortgage, compared to 3.1 percent in October 2012. The foreclosure inventory declined 2.9 percent from September 2013 to October 2013.
Prior to the housing market collapse of 2007-2008, completed foreclosures averaged 21,000 per month nationwide between 2000 and 2006. This means the rate of foreclosures is still historically too high and the long crisis has not sufficiently abated.
Nonetheless, positive trends have been consistent in the reduction of homes in some phase of foreclosure.
“The scourge of an elevated foreclosure inventory is easing,” said Anand Nallathambi, president and CEO of CoreLogic. “In October, every state posted a year-over-year decline in completed foreclosures, which is positive news. Additionally, the rate of serious delinquencies, which fell more than 25 percent year over year, is at the lowest level in nearly five years, which is great news as we head into a new year.”
Completed foreclosures are an indication of the total number of homes actually lost to foreclosure.
About 879,000 homes in the U.S. were in some stage of foreclosure as of October 2013, compared to nearly 1.3 million in October 2012, a decrease of 31 percent. This marks the 24th consecutive month with a year-over-year decline.

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