Wednesday, August 12, 2009
New Report Shows Decline in Foreclosures in MN
A report published this week, co-authored by the MN Home Ownership Center, shows there were 11,089 foreclosures in Minnesota at the end of the second quarter, compared to 13,591 during the same period last year. If this pace continues, Minnesota will see a 15% reduction in the number of foreclosures in Minnesota over last year. In 2008, there were 26,261 foreclosures in Minnesota, the highest number of foreclosures on record.
The report, titled “Foreclosures in Minnesota”, analyzes sheriff’s sale data, the primary means of identifying foreclosures, from all Minnesota Counties. Minnesota is unique among other states in the availability of current, comprehensive sheriff’s sale data.
While the exact reasons for the decline are unknown, it is likely the result of actions taken by lenders, homeowners and homeownership counselors rather than improved housing and economic conditions. On the lending side, many of the major lenders placed moratoriums on foreclosures in late 2008/early 2009 and more lenders are now working with homeowners to modify loans. In addition, the number of mortgages that are 60+days in default continues to climb. If a workout cannot be obtained with the lender, many of these homeowners may be forced into foreclosure, potentially driving up the foreclosure numbers in the second half of 2009.
This report, published since 2007, now includes QUARTERLY data - and shows year-over-year and quarter-over-quarter information for Minnesota foreclosures.
You can view the report, here.