Friday, October 24, 2008

More Bad NJ Numbers

Our previous post looked at September foreclosure rates - 1 in 453. That was a year-over-year increase of 48%. But the quarterly results are even more grim - a year-over-year increase of 95%. This article from the Times of Trenton titled Jersey foreclosure filings on the rise conveys the bad news. Lets take a look -

Foreclosure filings in New Jersey jumped 95 percent during the third quarter from the same period a year ago, as financially strapped homeowners already behind on mortgage payments defaulted on their loans or came closer to losing their homes to foreclosure.

A total of 17,893 New Jersey homeowners either got a default notice in the mail, were warned of a pending auction or had their homes seized by their lenders between July and September, according to RealtyTrac, a Irvine, Calif.-based company that tracks foreclosed properties. That was more than 3 percent higher than the second quarter.

Of the 100 top metropolitan areas listed by RealtyTrac yesterday, Newark ranked 38th, Camden ranked 39th and Edison ranked 47th.

Breaking down the foreclosure problem in New Jersey, the Newark metropolitan area, which includes Essex, Hunterdon, Morris, Sussex and Union counties, saw the number of foreclosure filings jump 90 percent in the third quarter, to 5,056. In the Edison metropolitan statistical area, which includes Middlesex, Monmouth, Ocean and Somerset counties, foreclosure filings climbed 85.8 percent in the third quarter, to 4,486.

The Camden area saw the biggest quarterly spike, with foreclosure activity spiking 264 percent, to 2,837 filings.

We are glad the state is working on the foreclosure trust. However hopefully there will aspects that try to prevent foreclosures rather than focusing on the after-affects of foreclosure a program needs to be developed that helps reduce foreclosures. While we do not discourage the rebuilding of broken communities - preventing the devastation in the first place would be preferred.

No comments: