An increase in judicial foreclosure actions led to an uptick in foreclosure filings last month.
Foreclosure filings were up 2% in October from the previous month, but still down dramatically year-over-year, according to a study released today.
Foreclosures filings -- including default notices, bank repossessions and scheduled auctions -- were reported on 133,919 U.S. properties in October, according to RealtyTrac’s U.S. Foreclosure Market Report. That’s up from September, but still represents a 28% decrease from October of 2012.
Judicial foreclosure auctions, however, were up from last October. There were a total of 30,023 judicial foreclosure auctions scheduled in October, according to RealtyTrac – a 7% increase year over year, and up 10% from September.
“The backlog of delayed judicial foreclosures continues to make its way through the pipeline, with many of these properties now being scheduled for the public auction after starting the foreclosure process last year or earlier this year,” said Daren Blomquist, vice president at RealtyTrac. “Lenders are likely moving these properties more rapidly to the public auction given that there is strong demand from institutional buy-to-rent investors at the auction and that rising home prices mean more of the loan losses can be recouped, either by selling to an investor at the auction or by repossessing the property and reselling as bank owned.”
Maryland saw the biggest jump in scheduled judicial foreclosure auctions, up 177%. Also seeing big jumps were Delaware (up 142%), New York (up 98%), New Jersey (up 97%), Pennsylvania (up 58%), Connecticut (up 35%) and Florida (up 32%).
Foreclosure starts were also up from September in 22 states. Colorado saw the biggest jump at 124%, followed by Florida (up 36%) and Illinois (up 30%).
