New York, New York (PRWEB) August 27, 2012
CNN reports that foreclosures fell in July of 2012, marking the 22nd consecutive month in which foreclosure filings have decreased; however, the article reports that a surge in new foreclosures points to the fact that the fallout from the recession and the housing bubble burst is still causing damage. Yoram Eliyahu is encouraging investors and other property owners to be patient, as he is confident that the market will continue to heal. Additionally, he is encouraging individuals to call upon the many resources that are available to them should they face foreclosure.
According to the article, less than 192,000 foreclosures were filed in July. This is down 3 percent from June and down 10 percent from July 2011 statistics. These numbers include notices of default, bank repossessions, and property auctions.
But these numbers do not include the initial stage of foreclosure, called a foreclosure start. This stage occurs when borrowers first receive notice regarding their default status. The article reports that foreclosure starts have increased by 6 percent from July 2011 numbers. Additionally, "July marked the third straight month that foreclosure starts have increased on an annual basis," according to the article.
Daren Blomquist, a RealtyTrac spokesperson, asserts that this spike in foreclosure starts may be credited to the recent foreclosure settlement. After banks took advantage of the foreclosure process for years, this settlement has set strict guidelines regarding foreclosure operations. As such, Blomquist believes that banks may be filing foreclosures that they were holding while waiting for this settlement to be made. In that case, the statistics are skewed and do not accurately represent the foreclosures that are currently taking place, as the loans associated with some of these properties have been in default for some time.
Yoram Eliyahu, a real estate professional, knows that these are the statistics that can scare potential investors and buyers away from the housing market. But he also knows that these foreclosure rates are dependent upon many variables. The article highlights that location plays a key role in the amount of homes being repossessed by the bank. It notes that "foreclosure rates [in states like California] are twice as high as the national average, while in places like North Dakota they're barely a blip of RealtyTrac's radar."
As such, Yoram Eliyahu is encouraging investors and property owners to remain optimistic about the market. He is also urging homeowners who may be facing foreclosure to call upon the resources available to them. Opening the lines of communication with lenders can sometimes go a long way toward preventing the foreclosure process from taking place.
Yoram Eliyahu is a real estate professional who offers industry insight and unparalleled customer service to each and every client. A leader in the commercial real estate field, Yoram Eliyahu guides his clients through the process of buying and selling properties.