RealtyTrac February 2012 Foreclosure Report

The February 2012 report on foreclosure activity from RealtyTrac shows foreclosure filings — default notices, scheduled auctions and bank repossessions — were reported on 206,900 U.S. properties in February. That was a 2 percent decrease from the previous month and was down 8 percent from February 2011 — the lowest annual decrease since October 2010. The report also shows one in every 637 U.S. housing units with a foreclosure filing during the month.

"February’s numbers point to a gradually rising foreclosure tide as some of the barriers that have been holding back foreclosures are removed," said Brandon Moore, CEO of RealtyTrac. "Although national foreclosure activity was pushed lower by decreases in a handful of larger states, 21 states posted annual increases in foreclosure activity, the most states with annual increases since November 2010.

"The foreclosure and mortgage settlement filed in court earlier this week will help pave the way to a properly functioning foreclosure process by providing a clear roadmap for necessary foreclosures," Moore continued. "That should result in more states posting annual increases in the coming months. Not surprisingly, many of the biggest annual increases in February were in states with the more bureaucratic judicial foreclosure process, which resulted in a larger backlog of foreclosures built up over the last 18 months in those states."

February foreclosure activity in the 26 states with a judicial foreclosure process increased 2 percent from January and was up 24 percent from February 2011, while activity in the 24 states with a non-judicial foreclosure process decreased 5 percent from January and was down 23 percent from February 2011.

Half of largest metro areas post annual increases in foreclosure activity.

Ten of the nation’s 20 largest metro areas by population documented year-over-year increases in foreclosure activity in February, led by the Florida cities of Tampa (64 percent increase) and Miami (53 percent increase).

The 10 metro areas with increases were all on the East Coast or in the Midwest, while most of the metro areas with year-over-year decreases in foreclosure activity were in the West, led by Seattle (59 percent decrease) and Phoenix (43 percent decrease).

The metro areas with the highest foreclosure rates among the 20 largest were Riverside-San Bernardino in California (one in 166 housing units), Atlanta (one in 244), Phoenix (one in 259), Miami (one in 264) and Chicago (one in 302).

WRA's Real Trends: The Trusted Source, Volume XXVI, April 2012

By Sonya Mays


Mild winter weather and increased consumer confidence contributed to a 15.6 percent increase in Wisconsin home sales during the month of February, according to the Journal Sentinel and a report by the Wisconsin Realtors Association. 

This is the eight consecutive month for home sale rises in the state, and it kicks off the prime real estate season in a positive light.

The report showed the median sales price in Wisconsin was $115,000, which was $2,000 less than a year ago. Some Realtors reported that they are seeing more non-foreclosure sales; however, court records indicate that foreclosure filings were up 5.9 percent in February.

For the complete story, please visit: http://www.jsonline.com/business/february-home-sales-rose-156-statewide-mk4kso4-143314476.html 


Source: Journal Sentinel-JSOnline.com

By: Sonya Mays


In select hard-hit areas, Bank of America announced it will launch a pilot program to help homeowners faced with foreclosure stay in their homes by paying rent as opposed to paying the mortgage note.

Many homeowners are behind in their mortgage payments, struggling to keep up, or are underwater.  This program will provide a viable solultion to customers in need. 


Bank of America is launching the program in some of the hardest hit areas: Arizona, Nevada and New York.  Customers will have the opportunity to lease their home for up to 3 years, with rent payments less than current mortgage payments.  

This comes on the heels of an announcement of government entities, such as Fannie Mae and Freddie Mac, who plan to convert a portion of their REO inventory into rentals.

For the complete story on the BOA lease program, please visit: http://www.dsnews.com/articles/print-view/bofa-offer-mortgage-to-leae-program-select-customers-facing-foreclosure-2012-03-23 


Source: DSNews.com  
 

By: Sonya Mays

The Greater Milwaukee Association of Realtors (GMAR) released a special report on 2/12/12, indicating that residential home sales increased by 15.5% in January in the 4-county metropolitan area.  This is a good sign because it is the 7th month in a row that home sales have increased. Contributing factors include low prices, over supply of inventory and historically low interest rates.

 

The January 2012 Housing Statistics Report is a small indication that consumer confidence is starting to rise as brokers report increases in web activity, open house attendance and showings.

 

In addition, the mild weather that Wisconsin has seen this winter also had a positive impact on the market, making it easier for buyers to view more listings.

 

According to the report, below is the sales analysis for each county.

 

• Milwaukee County was up 12.4% in sales over 2011 (444 units vs. 395 units)
• Waukesha County was up 16.3% vs. 2010 (193 sales compared with 166)
• Washington County was up 4.9% compared to 2010 (64 vs. 61)
• Ozaukee County was even at 0% vs. a year ago (36 units vs. 36 units)

 

Source: GMAR Special Announcement: January 2012 Housing Statistics

Administration Revamps HAMP to Reach More Borrowers

1/27/12
DSNews.com

Changes announced Friday to the administration’s Home Affordable Modification Program (HAMP) are expected to extend relief to a larger share of struggling homeowners as well as renters, according to federal officials.

One of the key adjustments to the program centers around principal reductions. HAMP currently includes an option for servicers to provide underwater homeowners who are struggling with their payments with a modification that includes a principal writedown.

To encourage investors to agree to principal reduction modifications, Treasury is tripling the incentives for such restructurings, paying from 18 to 63 cents on the dollar, depending on the degree of change in the loan-to-value (LTV) ratio.

The Federal Housing Finance Agency (FHFA) has prohibited Fannie Mae and Freddie Mac from employing HAMP’s principal reducing option for their borrowers. Treasury has notified FHFA that it will pay these same principal reduction incentives to Fannie and Freddie if they allow servicers to forgive principal in conjunction with a HAMP modification.

FHFA issued a statement in response noting that it recently released analysis concluding principal forgiveness does not offer any greater benefits than principal forbearance as a loss mitigation tool.

But the agency says it will reassess the investor incentives now being offered, taking into consideration the number of eligible loans, operational costs to implement such changes, and the potential effects of incentivizing borrowers to remain current.

Among the other changes announced, borrowers who are struggling because of debt beyond their mortgages, such as second liens and medical bills, will be eligible for an alternative program evaluation with more flexible debt-to-income criteria.

In addition, Treasury will expand eligibility to include investor properties that are currently occupied by a tenant as well as vacant properties slated for rental use.

Tim Massad, Treasury’s assistant secretary for financial stability says single-family homes serve an important function as affordable rental housing, and foreclosure of investor-owned homes has disproportionate negative effects on low- and moderate-income renters, as well as communities.

The deadline for HAMP will be extended for an additional year through December 31, 2013.

To date, HAMP has helped approximately 900,000 struggling homeowners permanently modify their mortgage loans, providing them with a median savings of more than $500 a month.

Massad says the administration is committed to a multi-pronged effort to support American homeowners and the housing market recovery.

In addition to foreclosure prevention initiatives such as HAMP, Massad says the federal government plans to focus on transitioning foreclosed properties into rental housing, making it possible for responsible homeowners to refinance, and providing hard-hit states with resources to develop targeted relief programs.

Source: http://www.dsnews.com/articles/print-view/administration-announces-changes-to-hamp-2012-01-27

By Sonya Mays

Sellers of vacant land in Wisconsin will be required to complete a vacant land condition report at the time of sale, according to a new law signed into legislation by Gov. Scott Walker on December 7, 2011. 

The new law will become effective as of July 1, 2012, and will require all owners of vacant land to complete the real estate condition report. People exempt will be personal representatives, trustees, and other court appointed conservators and fiduciaries.

Under the current law, sellers of 1-4 family dwelling units must complete a real estate condition report. The new law will extend to sellers of vacant land who must provide a condition report to a prospective buyer within 10 days of an accepted offer. 

For more information, visit: www.wra.org

Source: www.wra.org

As we wind down to the end of the year, here’s a friendly reminder to homeowners that there’s still time to claim tax credits for energy efficiency home improvements made in 2011. 


Tax credits up to $500 are available for homeowners to claim until the end of 2011.   

Tax credits include the following:

 

· $300 for electric heat pump water heaters, electric heat pumps, central air conditioners, biomass stoves, and natural gas, propane, or oil water heaters.

· $150 for natural gas, propane, oil furnace, or hot water boilers.

· $50 for advanced main air circulating fans.  

· 10% of the cost of insulation and sealing materials, exterior doors and certain types of energy efficient roofs.  

· 10% of the cost, up to $200, of exterior windows or skylights.

Homeowners may qualify for energy-saving or green-energy home improvements credits. The tax credits for 2012 have not been renewed as of yet. 

For more information, visit http://www.irs.gov/newsroom/article/0,,id=249922,00.html.

 

Source: WRA Wisconsin Realtors Association Legal Hottips www.wra.org