Florida still accounts for 1 in 5 foreclosures

Florida continues to lead the nation in completed foreclosures, accounting for nearly one in every five.

Lenders closed on 94,124 foreclosures in Florida in the 12-month period ended in August, more than twice as many as any other state, data provider CoreLogic said Tuesday.

But that was down by more than 28,500 from the previous year.

The state ranked third in the total percentage of distressed properties, with 2.6 percent of the state’s homes in some stage of foreclosure.

While Florida’s foreclosure inventory is down from 4.6 percent over the year, it remains more than double the national average of 1.2 percent.

About 19 percent of the 499,611 foreclosures completed nationwide in the past year occurred in Florida.

Borrowers are doing better paying their mortgages, said CoreLogic chief economist Frank Nothaft, but there is a “dichotomy” between fresher and older loans.

“Newly delinquent loans are at the lowest rates during the last two decades. That reflects the tight underwriting and improved economy during the last few years,” Nothaft said.

“However, the foreclosure pipeline of legacy loans remains elevated. Over the last 12 months, there have been 500,000 completed foreclosures, more than double the number during normal periods,” he said.

The Tampa-St. Petersburg-Clearwater region again posted the top foreclosure rate among major metro areas in August, with 3.4 percent of its homes in some level of distress. That was down from 5.7 percent one year earlier.

That region also reported the most completed foreclosures in the past year, with 16,350.

In Florida, 6.0 percent of all home mortgages are considered seriously delinquent — at least 90 days past due — which was the third highest rate in the nation. But that declined from 8.9 percent over the year.

The U.S. rate was 3.5 percent, down from 4.3 percent.

“In August, the housing market experienced solid and steady increases in sales, prices and performance, and our preview data indicates those trends will continue in September,” said Anand Nallathambi, president/CEO of CoreLogic. “Longer term, the recent increase in household formations and rapidly improving labor market for millennials will provide a demographic tailwind to the housing market and keep demand firm.”

New Jersey led the nation with a foreclosure inventory rate of 4.6 percent, followed by New York at 3.7 percent.

http://www.heraldtribune.com/article/20151013/ARTICLE/151019865/2107/BUSINESS?Title=Florida-still-accounts-for-1-in-5-foreclosures

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