SoCal Foreclosure Rates Lowest In 6 Years
RIVERSIDE (CBSLA.com) — California has one of the highest foreclosure rates in the nation but overall filings in November reached a low not seen in six years, according to data published by Realty Trac.
“For us realtors, we’re super excited,” said Dan Tovar, a long-time Riverside realtor who’s thrilled to see fewer people filing foreclosures.
“The sales price goes up, guess what, our commission goes up, too,” Tovar said.
Realty Trac, an Irvine-based company that focuses on foreclosures, says new filings in the Inland Empire, Riverside and San Bernardino counties were down 48 percent last month compared to November 2011. Los Angeles County saw a 41 percent decrease during that time period and Orange County filings were down 52 percent.
“It’s great news…that means property values are going up because there’s a lot more demand and less supply,” said Darren Bloomquist, of Reality Trac.
However, short sales reportedly increased 31 percent in the Inland Empire in the third quarter of the year. Bloomquist said that having short sales on the rise while foreclosures are down indicates the real estate market is still distressed.
Tovar and Bloomquist agree there’s pressure on banks to prevent foreclosures.
Bank of America has reduced its foreclosure filings by 59 percent, said Bloomquist, adding that the Inland Empire has the third highest foreclosure rate in the country, only lower than two areas in Florida.