In Arizona, the foreclosure process is as follows: First, an NTR (notice of trustee sale) is filed. This notice cannot be filed until the homeowner is 90 days late on a mortgage, and must precede the actual foreclosure by 90 days. I have been tracking the number of homes with an active filed NTR in several zip codes for the past several months. These are the homes that could be foreclosed on in the next 90 days. However, most of them are not foreclosed on presently, most have the sale delayed for one reason or another. If the home is short sold, the sale is canceled, and it would disappear from my list. The foreclosure crisis will end someday, and when it is nearing an end seems to me to likely be a very good time to consider buying a home. After all, when there are lots of foreclosures, this distressed inventory pushes home prices down. So, I track this data to see how things are going in the zip codes I like: does the information imply that we are nearing the end of foreclosures? Well, here is the data:
_________85254 85282 85258 85255 85260 total
1/25/2010 470 309 201 457 322 1759
2/25/2010 478 324 210 475 328 1815
3/25/2010 468 313 227 478 313 1799
4/25/2010 485 323 206 511 327 1852
As you can see, the data are trending upwards. In fact, over just 3 months, we find 5% more active foreclosures in process. This is despite all of the attempted loan modifications and short sales! So, nothing in this data presently indicates to me any reason to hurry and buy a home in any of these zips. In previous posts, I talked about the end of home buying credits, and national trends of non paying mortgages.
I hope you find this information useful! If you do, please consider me for your future home buying and selling needs.