Skip to main content

How Far Has The Bank Foreclosure / REO Market Fallen? Team Thayer #realestate #foreclosure #foreclosures #reo #bankowned #oregon #housing #investor #market

The steep decline in the number of REO properties in the last five years or so since the foreclosure crisis peaked has been one of the buzz topics in the mortgage industry. As more jobs are added each month and the unemployment rate has dipped to pre-recession levels, the number of foreclosed homes has seen a corresponding substantial decline.
Just how many fewer REO properties are out there now compared to the total of REO properties at the peak of the crisis? The FHFA’s Foreclosure Prevention Report for Q4 2015 said that Fannie Mae and Freddie Mac owned a combined total of 72,783 REO properties as of the end of the fourth quarter—less than a third of their peak total of slightly more than five years earlier—in Q3 2010, Fannie Mae and Freddie Mac owned a combined total of approximately 242,000 REO properties. That quarter, property acquisitions outpaced dispositions by the count of 124,000 to 74,000.
3-28 REO
The 72,000-plus REO properties owned by the GSES represented a decline of 6 percent from Q3’s total of approximately 77,000. The 6 percent over-the-quarter decline was attributed to property dispositions outpacing acquisitions by the count of 25,531 to 21,100 during the quarter. The 21,100 acquisitions represented a decline of 6 percent, while the 25,531 dispositions represented a decline of 20 percent over-the-quarter for Q4.
According to FHFA, about 14 percent of the GSEs’ REO inventory was located in Florida during the fourth quarter of 2015 (about 10,000 properties). About 19 percent of the inventory was concentrated in four Midwestern states (Illinois, Indiana, Michigan, and Ohio).
While the number of REO properties owned by Fannie Mae and Freddie Mac in Q4 2015 was approximately one-third of its peak total from five years earlier, the number of completed third-party and foreclosure sales was less than one-fifth of its peak total from Q3 2010. During the fourth quarter of 2015, there were 25,096 foreclosures completed on Fannie Mae- and Freddie Mac-owned single-family residential properties; in Q3 2010, foreclosure completions reached their peak total of 138,000. Likewise, foreclosure starts also peaked in Q3 2010 at 339,000 but by Q4 2015 had declined to 65,000.
Click here to view the FHFA’s entire Foreclosure Prevention Report for Q4 2015.


Team Thayer www.teamthayer.com

Justin Lee Thayer is Lane counties expert in market analysis for real estate investors. Call Justin @ 541-543-7287
Location: Eugene, OR 97401, USA

Popular posts from this blog

Grass Seed Video

Read more

When Will Bank Foreclosurews ‘Normalize’? Team Thayer #realestate #investor #housing #market #news #oregon

With much of the talk surrounding the housing market centered on “normalization” or returning to its pre-crisis state, one metric which the market is watching is the distressed sales share—the share of REO and short sales that comprise total residential home sales. For February 2016, the distressed sales share declined by 2.9 percentage points over-the-year (and 0.4 percentage points over-the month) down to 11 percent, according to  data released by CoreLogic  on Thursday. At their peak in January 2009, distressed sales accounted for nearly one-third of all residential home sales (32.4 percent) but has been declining steadily since then. By comparison, the pre-crisis share of distressed sales was typically around 2 percent; CoreLogic estimates that if the current rate of year-over-year decline continues, the distressed sales share will reach the “normal” pre-crisis level in slightly more than two years. “Prior to the housing crash, the distressed share of total...
Read more

Bankruptcy Filings Dip Even Lower! Team Thayer #realestate #housing #market #investor #News #oregon

Bankruptcy Filings Dip Lower Nationwide bankruptcy filings were 5 percent lower in October 2016 compared with a year earlier, falling even lower than last month’s reported decrease, according to October 2016 AACER bankruptcy data reported by Epiq Systems. Bankruptcy filings totaled 63,042 in October, which was an increase from September’s total of 64,614, and was approximately 2.4 percent higher than October 2015’s total of 63,042 (an increase of 1,572).  Year-to-date, there have been 656,125 bankruptcy filings nationwide for the past nine months of 2016 (about 65,613 per month), down from 2015’s year-to-date total through the end of October of 700,014 (about 70,001 per month). The average number of filings per day in October 2016 was 3,152 over 20 days, which is an increase from September’s daily average of 3,077 over 21 days. The extra filing day in September compared to October accounts for the slight increase in the number of filings in September; had October feature...
Read more