NY home foreclosures up 2%

The number also increased by 7.4% in New Jersey and 5.2% in Connecticut, while dropping by the greatest amount on the west coast. “(It’s) a tale of two countries,” says an analyst.

(Bloomberg) – The number of homes in the foreclosure pipeline is increasing in states including New York, New Jersey and Connecticut, where the process is slowed by courts, as Arizona, California and Nevada digest their backlog.

Home loans that were delinquent or in foreclosure fell in three states hit hard by the housing market collapse, dropping 19% in Nevada, 21% in California and 25% in Arizona in the year through Nov. 30, Lender Processing Services Inc. reported Friday. At the same time, they rose 7.4% in New Jersey, 5.2% in Connecticut and 2% in New York, as mandatory judicial procedures delayed seizures.

“(It’s) a tale of two countries,” said Herb Blecher, senior vice president at LPS Applied Analytics, a unit of the Jacksonville, Fla.-based mortgage-services company. “There are certainly two different scenarios that can play out.”

The pace of foreclosures slowed in the past year in so-called judicial states after banks and loan servicers faced investigations over documentation procedures used to seize property. Speedier foreclosures may allow housing markets to recover faster while not giving homeowners as much opportunity to stop the repossession of their properties, Mr. Blecher said.

The 24 judicial states include Florida, where 23% of homes with mortgages were delinquent or in foreclosure, the most of any state, Lender Processing Services said. The state also took the longest to foreclose, with an average of 1,017 days of delinquency in November, followed by Maine, New York, Vermont and New Jersey, all judicial states.

The average U.S. loan was 667 days delinquent when a foreclosure sale was held. The average was 839 days for judicial states and 587 for non-judicial states. Homes sold in foreclosure auctions were an average of 659 days delinquent in California, 629 days in Nevada and 541 days in Arizona, where court approval isn’t needed.

Federal Reserve Chairman Ben Bernanke this week called the weakness in the housing market a “significant barrier” to U.S. economic health and said Fannie Mae and Freddie Mac, the government sponsored enterprises that control the majority of mortgages, might have to bear greater losses to stoke a broader recovery.

“The large inventory of foreclosed or surrendered properties is contributing to excess supply in the for-sale market, placing downward pressure on house prices and exacerbating the loss in aggregate housing wealth,” he said in a Jan. 4 report to congressional leaders.

The U.S. delinquency rate fell to 7.7% in November for mortgages more than 90 days late, compared with 8.2% a year earlier, according to Lender Processing Services. The total number of loans that were delinquent or in foreclosure fell to 6.26 million, down 24% from their January 2010 peak. The number of homes that had received a foreclosure notice and were awaiting seizure by a bank was 2.1 million, little changed from a record 2.22 million in March.


About janetnyc real estate

Merging Artistic Aesthetics with Luxury Real Estate Expertise Janet Zola Cruz has an artistic philosophy when it comes to real estate, believing that a client’s “picture” of the perfect dream home has everything to do with their decision to buy it. She should know. Janet not only sells Manhattan luxury properties, but has a MFA in Fine Arts from Brooklyn College, an Interior Design Degree from the Metropolitan Institute of Interior Design and is pursuing professional certification in real estate finance and investment from the NYU Schack Institute of Real Estate. Janet was born in Brooklyn but grew up on the island of Puerto Rico and developed a love of real estate from her father who was a contractor and investor in prime properties there and in Florida. Learning not only the skills of buying and selling properties, but how aesthetics play an integral part of consumer decision-making, her creative nature and keen business sense were the perfect marriage to propel her to success in New York. Janet has lived in New York--Long Island, Brooklyn and Manhattan--for over over 25 years. While pursuing her interests in the arts and in real estate, she founded her own freelance design company whose impressive client list included nationally-recognized companies in publishing, real estate and retail. Janet’s clients know her as an artistic soul with an extensive knowledge of Manhattan’s real estate industry. Buyers value her ability to interpret what in their “mind’s eye” and sellers consult with her on how to best stage their properties for optimum sales. View all posts by janetnyc real estate

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