LAS VEGAS -- Overall foreclosures in Nevada last month hit their lowest point since August 2006 but default notices increased in the Las Vegas metropolitan area from a year ago following seven months of decreases, RealtyTrac reported Wednesday night.
The mixed findings from the real estate analytics company in Irvine, Calif., mean that the “foreclosure crisis” is still not over for Las Vegas, RealtyTrac spokeswoman Jennifer von Pohlmann wrote in an email to 8 News NOW.
“Foreclosure starts in Las Vegas increased 56 percent from a year ago following seven consecutive months of decreases, indicating that unfortunately the never-ending saga of the foreclosure crisis is still not over for the city,” she wrote.
“Ever-changing state legislation in the state is causing confusion for the foreclosure industry, resulting in a backlog of delayed foreclosures that will eventually push through the pipeline. Evidence of that backlog is the increasing average time it takes to foreclose in Nevada, at 494 days, up from 420 days a year ago and up from about 140 days before the housing crisis.”
Nevada was one of 10 states that saw total foreclosure activity fall in June to its lowest point since the housing market bubble burst. The state had 1,349 filings last month, including default notices, notices of pending trustee sales and repossessions by lenders.
There were 8,504 Nevada properties that had foreclosure filings in the first half of the year, 48 percent less than the same period a year ago. But Nevada still finished the first half of 2014 with one foreclosure filing for every 138 housing units, the nation’s fifth highest rate. Florida topped the list with one filing per 74 housing units while the national average was one filing for every 214 units.
“Over the next six to nine months nationwide foreclosure numbers should start to flat line at consistently historically normal levels,” RealtyTrac vice president Daren Blomquist said.
“There continue to be concerning trends in some states and local markets that clearly indicate those markets are not completely out of the woods when it comes to the lingering foreclosure problem left over from the housing bust. While it’s important that any remaining foreclosure infection is addressed promptly to keep it from festering, foreclosures are no longer a widespread contagion threatening to derail the housing market’s return to full health.”