NEW YORK, N.Y., July 13, 2011 (SEND2PRESS NEWSWIRE) -- California, Florida, Michigan, Arizona, and Nevada made up more than half of the foreclosure activity in May. According to ForeclosureListings.com, there were 8,828 California foreclosure listings in May and 10,506 in June; an increase of 19.0%.
There were 4,304 Arizona foreclosure listings in May and 4,868 in June; a rise of 13.1%. About 4 million seriously delinquent borrowers exist, many of whom would already be in foreclosure except for processing delays.
The number of U.S. homes seized by banks fell in May as processing delays continued to impede foreclosures. Many lenders are in no hurry to add repossessed houses to their books as it takes an average of three years in California to clear a house from the pipeline of foreclosure listings.
California May Listings June Listings Percent Rise
Sacramento 463 562 21.3
Bakersfield 279 346 24.0
Fresno 228 291 27.6
Stockton 201 272 35.3
Los Angeles 202 249 23.2
Arizona May Listings June Listings Percent Rise
Phoenix 1019 1207 18.4
Tucson 491 557 13.4
Mesa 354 389 13.4
Glendale 237 276 16.4
Scottsdale 162 193 19.1
Even though the foreclosure system is bogged down by the sheer volume of cases, borrowers are fighting to keep their houses. The U.S. Department of Treasury is helping some people avoid foreclosures. The Treasury Department gave states hit hardest by foreclosures a total of $36-millon to help residents pay their mortgages and stay in their homes.
Arizona, one of the states to receive money for the Save Our Home Program, is accepting applicants. The ADOH has funding to help about 100 consumers per month and hopes to reach around 14,000 Arizona households through the course of the program.
On the Arizona Department of Housing (ADOH) website, people who are unemployed and believe their home may enter foreclosure will find a list of requirements and a survey to determine if they're eligible for help to pay the mortgage. It takes about 15-to-20 minutes to apply and requires a lot of the same information you would need when applying for a loan.
When banks foreclose on homeowners, it ends up costing local city governments millions of dollars each year. Hidden costs associated with foreclosures include declining property tax revenue as homes remain empty or values drop, affecting the home values of the neighborhoods which can also see values drop along with tax revenues.