Post by unlawflcombatnt on Jul 24, 2007 15:56:52 GMT -6
Notices of Default have skyrocketed in California over the last year. Statewide, NoDs have increased over 150% since the 2nd quarter of 2006. Below are excerpts from a DQNews article documenting this increase. It's titled
California Foreclosure Activity Continues to Rise
July 24, 2007
"La Jolla, CA.--Lenders sent California homeowners the highest number of mortgage default notices in over a decade last quarter, the result of flat or falling prices, anemic sales and a market struggling with the excesses....
Lenders filed 53,943 Notices of Default (NoDs) during the April-through-June period. That was up 15.4 percent from 46,760 for the previous quarter, and up 158.0 percent from 20,909 for second-quarter 2006, according to DataQuick Information Systems of La Jolla.
Last quarter?s default level was the highest since 54,045 NoDs were recorded statewide in fourth-quarter 1996....A low of 12,417 was reached in third-quarter 2004....
A lot of the loans that went bad last quarter were made at or just beyond the cycle's peak, between summer '05 and summer '06. Appreciation rates for most of that period were in the double digits and lenders let many households stretch their finances to the max, and beyond. It?s that pool of ?beyond? mortgages that the market is working its way through,? said Marshall Prentice, DataQuick?s president.
Most of the loans that went into default last quarter were originated between July 2005 and August 2006....
Because a residence may be financed with multiple loans, last quarter's 53,943 default notices were recorded on 50,901 different residences, up 162.8 percent from 19,370 for second quarter 2006....
Roughly half, 54.6 percent, of the homeowners in default emerge from the foreclosure process by bringing their payments current, refinancing, or selling the home and paying off what they owe. A year ago it was 88.0 percent. The increased portion of homes lost to foreclosure reflects the slow real estate market, as well as the number of homes bought during the height of the market with multiple-loan financing. In selling a home, all loans must be paid off, which is not the case in the formal foreclosure process, where second mortgages and lines of credit are most often written off...."
The full article can be found at
California Foreclosure Activity Continues to Rise
From Q2 of 2006, California Notices of Default increased 126.6% in Los Angeles County, 137.8% in Orange County, 146.5% in San Diego County, 190% in Riverside County, 180% in San Bernardino County, and 151% in Southern California overall, and 158% statewide.
California Foreclosure Activity Continues to Rise
July 24, 2007
"La Jolla, CA.--Lenders sent California homeowners the highest number of mortgage default notices in over a decade last quarter, the result of flat or falling prices, anemic sales and a market struggling with the excesses....
Lenders filed 53,943 Notices of Default (NoDs) during the April-through-June period. That was up 15.4 percent from 46,760 for the previous quarter, and up 158.0 percent from 20,909 for second-quarter 2006, according to DataQuick Information Systems of La Jolla.
Last quarter?s default level was the highest since 54,045 NoDs were recorded statewide in fourth-quarter 1996....A low of 12,417 was reached in third-quarter 2004....
A lot of the loans that went bad last quarter were made at or just beyond the cycle's peak, between summer '05 and summer '06. Appreciation rates for most of that period were in the double digits and lenders let many households stretch their finances to the max, and beyond. It?s that pool of ?beyond? mortgages that the market is working its way through,? said Marshall Prentice, DataQuick?s president.
Most of the loans that went into default last quarter were originated between July 2005 and August 2006....
Because a residence may be financed with multiple loans, last quarter's 53,943 default notices were recorded on 50,901 different residences, up 162.8 percent from 19,370 for second quarter 2006....
Roughly half, 54.6 percent, of the homeowners in default emerge from the foreclosure process by bringing their payments current, refinancing, or selling the home and paying off what they owe. A year ago it was 88.0 percent. The increased portion of homes lost to foreclosure reflects the slow real estate market, as well as the number of homes bought during the height of the market with multiple-loan financing. In selling a home, all loans must be paid off, which is not the case in the formal foreclosure process, where second mortgages and lines of credit are most often written off...."
The full article can be found at
California Foreclosure Activity Continues to Rise
From Q2 of 2006, California Notices of Default increased 126.6% in Los Angeles County, 137.8% in Orange County, 146.5% in San Diego County, 190% in Riverside County, 180% in San Bernardino County, and 151% in Southern California overall, and 158% statewide.