California Foreclosure Activity is Down!

The economy is picking up and the housing market on the Westside is stabilizing. The number of homes entering foreclosure in California has declined to it’s lowest level in 5 years. A total of 56,258 Notices of Default were recorded during the first quarter of this year. That was down 8.5 percent from 61,517 for the prior three months, and down 17.6 percent from 68,239 in first-quarter 2011, according to San Diego-based DataQuick.

Falling prices in a market will cause higher foreclosure activity. It seems that markets have stabilized thus leading to less homes going into foreclosure.

“A few years back, there were some breathtakingly negative forecasts making the rounds regarding the foreclosure problem, some of which have played out, and some of which haven’t. The ‘shadow supply’ has yet to result in a second huge wave of foreclosures. The ‘reset problem’ hasn’t really materialized, largely because interest rates are resetting down, not up...

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