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Entries in Foreclose (3)

Thursday
Feb282013

Foreclosure and Short Sales Made Up 43 Percent of Home Sales in 2012

(Ryan McVay/Thinkstock)(IRVINE, Calif.) -- Though we’ve been hearing encouraging news about the state of the housing market in recent weeks, a new review of foreclosure sales and short sales in 2012 shows that there may still be a ways to go.

“Even though foreclosures are decreasing and the number of foreclosure sales are increasing, the overall number of distressed sales, percentage of distressed sales in the market is still very high at 43 percent,” said Daren Blomquist, vice president of RealtyTrac.

Indeed, though foreclosures are an increasingly small aspect of the housing market as of late, a significant portion of homes are still being sold at a loss or are otherwise distressed.

 “These distress sales are still impacting the market very heavily,” said Blomquist. “And until we see those distress sales go down to a much lower level we don't think this market is in a completely healthy state despite some of the good news we've been seeing.”

Foreclosure sales accounted for 21 percent of sales down from 2011’s 23 percent figure and the 28 percent number in 2010.

Copyright 2013 ABC News Radio

Thursday
Aug252011

Rise in Short Sales Offers 'Glimmer of Hope' for Housing Market

ABC News(IRVINE, Calif.) -- Pre-foreclosure sales rose 19 percent in the second quarter of 2011, and close to a third -- 31 percent -- of all U.S. residential sales during that same time period were foreclosed homes, according to RealtyTrac's latest report released Thursday.

And, as Rick Sharga with the foreclosure tracking firm explains, that may not necessarily be a bad thing.

"The fact that we're seeing a significant increase in the number of short sales actually is a glimmer of hope in this month's report," he says.

Sharga says its a clearing out of distressed inventory which is an overall good thing for the housing market.

"It looks like the banks are getting serious about trying to move these distressed properties more quickly, more efficiently and because they're doing this at a lower discount, it also helps to bring some stability to home prices and slow down the price depreciation that's been plaguing the housing market for the last few years," he explains.

Copyright 2011 ABC News Radio

Thursday
Feb172011

Philadelphia Man Moves to Foreclose on Wells Fargo Over Mortgage

Photo Courtesy - Justin Sullivan/Getty Images(PHILADELPHIA) -- When a Philadelphia man became fed up with his bank for failing to respond to his mortgage questions, he took them to court and won.  Now, he has moved to foreclose on Wells Fargo's local office.

The saga began in 2009, when Patrick Rodgers first wrote to Wells Fargo, requesting itemized information about the mortgage on his home in Philadelphia.  The bank was forcing him to take out a $1 million homeowners policy on his home, which he maintains is worth far less than that.

Over the next year he sent at least four letters to Wells Fargo from June to September and got exactly no replies.

The bank, he said, insisted on what's known as forced-place home insurance, which cost $2,400 a year.

But Rodgers said the market value of the home is not $1 million because his neighborhood is "not too far from the wrong side of the tracks" in West Philadelphia.  He bought his three-story Victorian home for $180,000 in 2002.

Rodgers did some research and learned that the Real Estate Settlement Procedures Act, or RESPA, passed in 1974, requires that a mortgage company acknowledge written requests within 20 business days, or face damages or penalties.

So he went to court, citing the law, and received a $1,173 judgment against Wells Fargo.  The bank did not respond to his action and he won a default judgment.  Then Rodgers placed a sheriff's levy against Wells Fargo's local mortgage office for the judgment, plus interest.

He said he was surprised that Wells Fargo had not responded despite media attention about his story, as first reported in the Philadelphia Inquirer.

Wells Fargo finally responded with two checks -- $1,078 on Jan. 14 and $95 on Jan. 26 -- but he said he still had not received a response to his letters.  So he turned to the Philadelphia sheriff's office to initiate a sale of the Wells Fargo Home Mortgage office in Philadelphia.

On Tuesday, the court placed a temporary stay on the sale, and ordered a hearing on Feb. 23 to determine the final status.

Rodgers said he is now awaiting $50 from Wells Fargo for the cost of initiating that sale.  He said the sheriff's sale can continue until then, barring an unfavorable judgment from the hearing, which he does not expect.

Copyright 2011 ABC News Radio







ABC News Radio