Statistics from RealtyTrac, a marketer of foreclosed properties, show that the number foreclosure notices given to homeowners across the country declined in May 2011. Yet, Michigan residents continue to struggle with foreclosures in a state with one of the highest numbers of foreclosures in the U.S.
RealtyTrac's data reveals that, nationally, nearly 215,000 homes received foreclosure notices, representing one in 605 households. But, just five states - California, Florida, Michigan, Arizona and Nevada - account for more than half of the nation's foreclosure filings. Michigan had the third-highest number of foreclosures with 14,614.
Although the number of foreclosure filings has recently decreased, analysts say it is simply a temporary stall in foreclosures held up after problems with lenders' documentation came to light in fall 2010. Many foreclosure filings had to be resubmitted, and in states with judicial foreclosures that must be overseen by a judge, courts have been unable to keep up with the deluge of proceedings.
Rick Sharga, a senior vice president at RealtyTrac, said that, even though there has been a decline in foreclosures, "all of those foreclosure auctions we should have seen this year roll into next year." Because most foreclosure proceedings have just been delayed, Sharga reported that it will take much longer for the housing market to recover and that homeowners are still in need of assistance in keeping their homes.
In addition, although notices of default, scheduled home auctions and home repossessions decreased by 2 percent from April to May 2011 and 33 percent from May 2010 to May 2011 nationally, lenders repossessed more homes in May 2011 than April in Michigan as well as in Georgia, New York, Virginia and New Jersey. These statistics show that, for many people, the foreclosure crisis is far from over.
Source: America's Map of Misery?