California Foreclosures Increase Over 131 Percent in 2008

Share Article

Los Angeles tops 122,000 foreclosures, leads state.

Default Research (http://www.defaultresearch.com), the premier provider of pre foreclosure listings in Northern and Southern California, is reporting that Notice of Defaults and Notices of Trustee Sales in both regions rose 131 percent last year. According to Default Research, Los Angeles County saw 122,408 unique properties enter into some stage of foreclosure in 2008. That number is up 107 percent from 590,082 in 2007.

"Even with Senate Bill 1137, which required lenders to contact residents at least 30 days before filing a Notice of Default, the California foreclosure numbers still spiked in 2008," said Serdar Bankaci, founder of Default Research. "Although the immediate effects of the 2008 bill were positive with a slight decline in foreclosure numbers in September and October, the other 10 months of the year were brutal for the state."

The top three counties with the highest number of foreclosures were Los Angeles (122,408), Riverside (82,072), and San Bernardino (64,144). The counties with the highest percentage increase from 2007 to 2008 were Santa Clara (238 percent), Fresno (173 percent) and Alameda (173 percent). On the other side of the spectrum, the counties with the least growth in foreclosure activity were Santa Barbara (48 percent), Ventura (89 percent) and San Diego (103 percent).

It does not seem as if the foreclosure forecast will be improving anytime soon for California. Bankaci said, "We expect to see foreclosure activity continue through the first two quarters of 2009. With home prices in California dropping between 20 to 30 percent, many homes purchased during the real estate boom are upside down. Those who took the risk and financed using adjustable rate mortgages are going to have problems."

The foreclosure situation in California and across the country should improve though by the third quarter of 2009 when the significant action taken by the United States government late in 2008 trickles down into the economy. "It generally takes 9 to 12 months before interest rate cuts by the government and other stimuli begin to benefit the consumer, and then the foreclosures should slow down," said Bankaci, whose daily pre foreclosure listings are e-mailed directly to real estate professionals in the region.

Below is a unique and accurate local look at how the Default Research foreclosure statistics (December 2008) affect your area:

Los Angeles Foreclosures - Hardest hit cities are Los Angeles (1982), Palmdale (693), Lancaster (633), San Jose (576) and Long Beach (487)

Riverside Foreclosures - Hardest hit cities are Antioch (630), Richmond (419), Pittsburg (356), Concord (282) and Brentwood (258)

San Bernardino Foreclosures - Hardest hit cities are Riverside (746), Moreno Valley (617), Corona (508), Murrieta (339) and Perris (333)

If you would like to learn more about this topic, or schedule an interview with Serdar Bankaci, please contact Josh Chernikoff at joshc(at)defaultresearch.com. More information about Default Research can be found at its Web site: http://www.defaultresearch.com. For more detailed California foreclosure statistics listed by county, please visit http://market.defaultresearch.com.

Since 2004, Default Research has been providing the freshest and most accurate pre foreclosure listings and statistics to real estate professionals and investors. Default Research's proven pre foreclosure data collection and distribution methods help us deliver our pre foreclosure lists two to three weeks ahead of the competition. The Default Research difference gives our clients a clear advantage in being the first to approach and help homeowners in distress. With the tremendous increase in foreclosure activity in the United States, Default Research prides itself on teaming up savvy real estate investors with struggling families to create a partnership that benefits both sides.

###

Share article on social media or email:

View article via:

Pdf Print

Contact Author

Josh Chernikoff
Visit website