While the overall foreclosure activity in the United States is showing signs of slowing down, there are certainly several states where foreclosure activities have not experienced any slump. According to experts, the slowdown is expected to be only temporary, and as soon as the “frozen” foreclosed properties start to thaw, we can expect everything to pick up in full swing.
Foreclosures Expected to Pick Up
Based on reports, foreclosure activities have considerably increased based on a one-year basis for the first time in about 12 months. The areas identified include Illinois, Indiana, Florida and Pennsylvania. This followed the same pattern that was observed in late 2011 in states such as Arizona, Massachusetts and California. It is expected that the same pattern will continue in the coming months once all the mortgage and foreclosure settlements are finalized.
In addition, experts are anticipating no less than 1 million completed foreclosures for 2012, a projection that is 25 percent higher that the figures of 2011. Once the legal and the legislative roadblocks are ironed out, the foreclosure market will be nothing short of an investor’s haven … as if it isn’t already.
Key States to Keep an Eye On
There are numerous states that have seen default notices steadily rising by more than 20 percent every year. Among the identified key areas include:
- Connecticut with 23 percent increase
- Massachusetts with 27 percent increase
- Maryland with 100 percent increase
- Florida with 36 percent increase
- Pennsylvania with 112 percent increase
- REO Activities Continue to Rise
During the start of 2012, bank repossessions or REOs have experienced one of the biggest increases. In fact, REO activities were observed to increase by 30% higher than last year’s figures in several states including:
- Wisconsin with 30 percent
- Illinois with 52 percent
- Connecticut with 39 percent
- New Hampshire with 62 percent
- Massachusetts with 75 percent
- Indiana with 60 percent
Areas with the Highest Foreclosure Activities
- Nevada. While the state of Nevada’s foreclosure rate slowed based on Jan. 2012 statistics after 52 months in a row, it still managed to hit the highest-ever foreclosure rate in the nation for the last 61 months straight. In fact, an estimated 1 in every 198 received a foreclosure filing.
- California. Next in line is California, which the recorded highest foreclosure activity for Jan. 2012. It is estimated that 1 in every 265 units received a foreclosure filing in the last month.
- Arizona. Third on the list is Arizona, having posted third-highest foreclosure activity with a ratio of 1 in every 325 units.
U.S. Metros with the Highest Foreclosure Rate
For anyone planning to invest in California, its metro areas account for 11 out of 20 metro areas in the United States with the highest rates of foreclosure, filling up nine out of first 10 spots.
Below is the list of the top 20 metro areas ideal for foreclosure property investment:
- Stockton, California
- Modesto, California
- Riverside-San Bernardino-Ontario, California
- Vallejo-Fairfield, California
- Las Vegas – Paradise, Nevada
- Bakersfield, California
- Sacramento, California
- Merced, California
- Fresno, California
- Visalia-Porterville, California
- Oxnard-Thousand Oaks-Ventura, California
- Atlanta-Sandy Springs-Marietta, Georgia
- Lansing-East Lansing, Michigan
- Orlando-Kissimmee, Florida
- Phoenix-Mesa-Scottsdale, Arizona
- Detroit-Warren-Livonia, Michigan
- Chicago-Naperville-Joliet, Illinois
- Reno-Sparks, Nevada
- Miami-Fort Lauderdale-Pompano Beach, Florida
- Salinas, California
For anyone contemplating on investing in foreclosure properties now is the ideal time to move. Check out the property listings on any of the states with the highest activity of foreclosures at Foreclosure.com and hone in on the most viable deals.