October 30 2010 (Chris Moore)
Las Vegas continues to top the country in foreclosure filings according to RealtyTrac in its third quarter report. Cities in four states — California, Florida, Nevada, and Arizona — accounted for the 13 hardest hit areas.
Las Vegas was far and away the hardest hit metro area. One out of every 25 housing units — more than 32,000 homes — attracted some kind of foreclosure filing, including notices of default, auction notices and repossessions.
Cape Coral, Fla., came in second with one in 35 homes getting hit with a filing.
Modesto, Ca., was in third place with one in 36 homes with foreclosure filings.
Stockton, Ca., was fourth with one in 39 homes with foreclosure filings.
Merced, Ca., rounded out the top with one in 40 homes with foreclosure filings.
Modesto, Stockton, and Merced are all located in California’s Central Valley which has been hard hit by unemployment. The area has been experiencing unemployment rates between 20 and 25 percent.
Miami had a total of nearly 59,000 properties with filings, more than any other metro area. Los Angeles had nearly 49,000.
Several metro areas experienced significant increases in already substantial foreclosure numbers. Filings almost doubled in the Riverside-San Bernardino area compared with three months earlier, to nearly 36,000 properties.
Vallejo, Calif., filings jumped 45%, quarter to quarter; Tampa, Fla., rang up a 58% increase; and San Diego recorded a 62% increase.
The main causes of foreclosure are high unemployment, underemployment, toxic loans and negative equity, and “these historically high foreclosure rates will continue until those problems are resolved,” said James Saccacio, RealtyTrac’s CEO.