U.S. home foreclosures climbed 27% from the previous month's year-over-year results, according to RealtyTrac's August 2008 U.S. Foreclosure Market Report.
There were 303,879 foreclosure filings in the month of August, a 12% increase from the prior month. According to RealtyTrac, one in every 416 U.S. households received a foreclosure filing.
"In August the total number of U.S. properties that received foreclosure filings as well as the national foreclosure rate were both the highest we've seen in any month since we began issuing our report in January 2005," said James J. Saccacio, chief executive officer of RealtyTrac. "However, the annual increase of 27 percent was actually substantially lower than in previous months this year, when it was hovering around 50 to 65 percent."
RealtyTrac expects the foreclosure rate to start to slow down as several states have passed legislation to allow homeowners in distress more time before foreclosure proceedings are initiated.
Nevada continued to lead the pack with the highest monthly foreclosure rate for the 20th consecutive month. There were 11,706 foreclosures filings in August, a 16% increase from the previous month and an 89% year-over-year increase. One in every 91 households in Nevada filed for foreclosure, the report said.
California, Florida and Arizona together accounted for more than half of the nation's foreclosure activity, according to the report.
California posted the highest amount of foreclosures in August with 101,724 filings. According to the report, foreclosures in California increased by 40.73% from the prior month and grew by 76% from July 2007. One in every 182 households filed for foreclosure.
Florida had the second highest total in August with 44,000 reported foreclosure filings. Foreclosures increased by 4% from the previous month as one in every 194 Florida households received a foreclosure filing. Florida had the fourth highest state foreclosure rate.
By Steve Stecyk and edited by Sarah Sussman
©CEP News Ltd. 2008