The Last Days Of The Foreclosure Raj In Sight

Posted in Foreclosure, Foreclosure Property, July 15th, 2007 |

Although California is still bleeding in raw numbers Florida is rapidly healing her wounds. California, the fairyland of dreams, the heartbeat of the million-dollar Silicon Valley seems to lead in everything – including the unhappy state of foreclosures. But according to statistics compiled by Bargain.com, Florida is leading in the reverse race – the drop in numbers in foreclosure listings. In California the numbers are still grim and alarming. The population of Florida is less than half that of California. In Florida during the second quarter of this year, 78,408 properties had been marked for foreclosures as against 83,210 houses in California. Trends however indicate that while California has reached her peak, Florida seems to be ready for more days of suffering ahead.

During the first quarter of 2007, there was a 7% drop in California numbers. But the opposite happened in Florida. Here the Sunshine State statistics showed 23% rise in the second as compared to the first quarter.

From the national viewpoint, about one in every six homes entering foreclosure is in Florida. A fall in sales teaming up with a surfeit of properties resulted in a speculation bonanza during 2004 and 2005. The net result has been that properties became susceptible to repossession. To add insult to injury the situation became worse with taxes and insurance rates skyrocketing. It became impossible for the ordinary man to stay under his own home warmed by the fires of his hearth.

Bargain.com is a California based group that sells lists of distressed properties. It suggests that the foreclosure crisis may have reached its peak all over the country in the first quarter of this year. Among 50 state, 34 reported less number of foreclosure victims during the second quarter.

Apart from California other Sun Belt states tapering off from the boom bonanza continue to be scorched. Among the top rankers, Florida was joined by Arizona, Nevada and Texas.

The head of Pinellas Realtor Organization, Ann Guiberson, sees rays of hope peeping from under gray clouds for California. The state still retains its role of nation leader in this foreclosure affair, followed closely by Florida. But Florida has a different conductor wielding the baton for the foreclosure orchestra. When other markets are down they remain up. Now when others are vigorously coming back Florida, in comparison to some is going back further down the road.

Via