Foreclosure Activity Increases 81 Percent in 2008 According To RealtyTrac(C) U.S. Foreclosure Market Report

Nearly 3.2 Million Foreclosure Filings on More Than 2.3 Million Properties Reported

IRVINE, Calif., Jan. 14 /PRNewswire/ -- RealtyTrac(R) (www.realtytrac.com), the leading online marketplace for foreclosure properties, today released its 2008 U.S. Foreclosure Market Report(TM), which shows a total of 3,157,806 foreclosure filings -- default notices, auction sale notices and bank repossessions -- were reported on 2,330,483 U.S. properties during the year, an 81 percent increase in total properties from 2007 and a 225 percent increase in total properties from 2006. The report also shows that 1.84 percent of all U.S. housing units (one in 54) received at least one foreclosure filing during the year, up from 1.03 percent in 2007.

Foreclosure filings were reported on 303,410 U.S. properties in December, up 17 percent from the previous month and up nearly 41 percent from December 2007. Despite the spike in December, foreclosure activity for the fourth quarter was down nearly 4 percent from the previous quarter but still up nearly 40 percent from the fourth quarter of 2007.

RealtyTrac publishes the largest and most comprehensive national database of foreclosure and bank-owned properties, with over 1.5 million properties from over 2,200 counties across the country, and is the foreclosure data provider to MSN Real Estate, Yahoo! Real Estate and The Wall Street Journal's Real Estate Journal.

"State legislation that slowed down the onset of new foreclosure activity clearly had an effect on fourth quarter numbers overall, but that effect appears to have worn off by December," said James J. Saccacio, chief executive officer of RealtyTrac. "The big jump in December foreclosure activity was somewhat surprising given the moratoria enacted by both Freddie Mac and Fannie Mae, along with programs from some of the major lenders and loan servicers aimed at delaying foreclosure actions against distressed homeowners.

"Clearly the foreclosure prevention programs implemented to-date have not had any real success in slowing down this foreclosure tsunami. And the recent California law, much like its predecessors in Massachusetts and Maryland, appears to have done little more than delay the inevitable foreclosure proceedings for thousands of homeowners."

The California law (SB1137), which required lenders to provide written notice of their intent to initiate foreclosure proceedings 30 days prior to issuing a notice of default (NOD), resulted in a reduction of NODs from 44,278 in August to 21,665 in September. Notice of Default filings then surged by 122 percent, to over 42,000, in December. Similar patterns have occurred in other states, such as Massachusetts and Maryland, where similar types of foreclosure prevention legislation has been enacted.

Nevada, Florida, Arizona post top state foreclosure rates in 2008

More than 7 percent of Nevada housing units (one in 14) received at least one foreclosure notice in 2008, giving it the nation's highest state foreclosure rate for the year. A total of 77,693 Nevada properties received a foreclosure filing during the year, an increase of nearly 126 percent from 2007 and an increase of nearly 530 percent from 2006.

Florida registered the nation's second highest state foreclosure rate in 2008, with 4.52 percent of its housing units (one in 22) receiving at least one foreclosure filing during the year, and Arizona registered the nation's third highest state foreclosure rate, with 4.49 percent of its housing units (one in 22) receiving at least one foreclosure filing during the year.

Other states with Top 10 foreclosure rates for 2008 were California, Colorado, Michigan, Ohio, Georgia, Illinois and New Jersey.

California, Florida, Arizona post highest 2008 foreclosure totals

A total of 523,624 California properties received a foreclosure filing in 2008, the nation's highest state total. Foreclosure activity in the state increased nearly 110 percent from 2007 and nearly 498 percent from 2006.

With 385,309 properties receiving a foreclosure filing in 2008, Florida documented the second highest state total. Florida foreclosure activity increased 133 percent from 2007 and nearly 412 percent from 2006.

Arizona's 2008 total of 116,911 properties receiving a foreclosure filing was third highest among the states. Foreclosure activity in Arizona increased 203 percent from 2007 and 655 percent from 2006.

Other states with Top 10 totals for 2008 were Ohio, Michigan, Illinois, Texas, Georgia, Nevada and New Jersey.

Sunbelt cities plus Detroit land on top 10 metro foreclosure rates list

With 9.46 percent of its housing units (one in 11) receiving a foreclosure filing during the year, Stockton, Calif., registered the highest foreclosure rate among the nation's 100 largest metropolitan areas in 2008. Other California cities in the top 10 were Riverside-San Bernardino at No. 3 (8.02 percent, or one in 12 housing units); Bakersfield and No. 4 (6.17 percent, or one in 16 housing units); and Sacramento at No. 9 (5.20 percent, or one in 19 housing units).

Las Vegas documented the second highest metro foreclosure rate in 2008, with 8.89 percent of its housing units (one in 11) receiving a foreclosure filing during the year.

More than 6 percent of Phoenix housing units (one in 17) received a foreclosure filing during the year, giving the city the fifth highest metro foreclosure rate in 2008.

The foreclosure rate in Fort Lauderdale, Fla., ranked No. 6, with 5.95 percent of the metro area's housing units (one in 17) receiving a foreclosure filing in 2008. Other Florida cities in the top 10 were Orlando at No. 7 (5.48 percent, or one in 18 housing units) and Miami at No. 8 (5.21 percent, or one in 19 housing units).

With 4.52 percent of its housing units (one in 22) receiving a foreclosure filing during the year, Detroit registered the tenth highest metro foreclosure rate in 2008.

Report methodology

The RealtyTrac U.S. Foreclosure Market Report provides a count of the total number of properties with at least one foreclosure filing reported during the year at the state and national level. Data is also available at the individual county level. Data is collected from more than 2,200 counties nationwide, and those counties account for more than 90 percent of the U.S. population. RealtyTrac's report incorporates documents filed in all three phases of foreclosure: Default -- Notice of Default (NOD) and Lis Pendens (LIS); Auction -- Notice of Trustee Sale and Notice of Foreclosure Sale (NTS and NFS); and Real Estate Owned, or REO properties (that have been foreclosed on and repurchased by a bank). If more than one foreclosure document is filed against a property during the year, only the most recent filing is counted in the report. The report also checks if the same type of document was filed against a property in a previous month or quarter. If so, and if that previous filing occurred within the estimated foreclosure timeframe for the state the property is in, the report does not count the property in the current month.

                      U.S. Foreclosure Market Data by State - 2008

                                     Total                        %Housing
                           Total    Properties %Change   %Change    Units
    Rate               Foreclosure   with       from      from  (foreclosure
    Rank  State Name     Filings    Filings     2007      2006      rate)
    ----    U.S.       3,157,806  2,330,483     81.24    224.80    1.84
            ----
    43  Alabama            8,436      7,764     39.34    184.19    0.37
    31  Alaska             2,265      1,946     46.10     96.76    0.70
     3  Arizona          152,621    116,911    203.13    655.04    4.49
    23  Arkansas          16,611     14,277    122.87    198.06    1.12
     4  California       837,665    523,624    109.86    497.91    3.97
     5  Colorado          66,795     50,396     27.90     61.41    2.41
    15  Connecticut       25,510     21,925     84.87    570.49    1.53
    33  Delaware           2,998      2,516   151.85*   701.27*    0.66
        District
         of Columbia       4,631      4,182   438.22*  3245.60*    1.48
     2  Florida          501,396    385,309    133.11    411.68    4.52
     8  Georgia          116,225     85,254     44.36    117.07    2.20
    34  Hawaii             3,346      3,185    229.71    489.81    0.64
    19  Idaho             11,272      8,512    133.85    302.08    1.38
     9  Illinois         115,063     99,488     54.70    126.01    1.91
    11  Indiana           61,141     45,937     64.18    113.59    1.67
    40  Iowa               6,405      5,385     31.25    135.77    0.41
    36  Kansas             7,983      6,218    155.46    179.96    0.51
    42  Kentucky           8,820      7,244     41.90     45.46    0.38
    41  Louisiana          7,837      7,129     79.66    111.42    0.39
    38  Maine              3,171      2,851   896.85*  5602.00*    0.41
    18  Maryland          41,582     32,338     71.29    945.18    1.41
    14  Mass.             53,797     44,342    150.00    577.08    1.64
     6  Michigan         145,365    106,058     21.61    107.89    2.35
    26  Minnesota         23,716     20,282     75.50    336.74    0.89
    46  Mississippi        2,364      2,293     62.74    181.35    0.18
    20  Missouri          42,054     31,254     33.04    139.11    1.19
    44  Montana            1,220      1,246      8.35     32.55    0.29
    39  Nebraska           3,326      3,190    -12.27     25.84    0.41
     1  Nevada           123,989     77,693    125.74    529.50    7.29
    22  New Hampshire      8,018      6,636   436.03*  5430.00*    1.13
    10  New Jersey        69,612     62,514    101.20    186.84    1.80
    37  New Mexico         4,543      3,727     24.48     38.29    0.44
    35  New York          55,641     50,032     29.32    129.23    0.63
    27  North Carolina    41,750     33,819     16.21    153.14    0.84
    47  North Dakota         391        371     48.40    148.99    0.12
     7  Ohio             146,099    113,570     26.22    155.40    2.25
    29  Oklahoma          16,059     12,465     50.98     32.86    0.78
    21  Oregon            25,049     18,001    112.75    168.67    1.13
    32  Pennsylvania      42,949     37,210    127.18     68.88    0.68
    17  Rhode Island       7,334      6,583   258.16*  1525.43*    1.46
    30  South Carolina    16,136     14,995   253.07*   220.41*    0.76
    48  South Dakota         405        402  1575.00*   793.33*    0.11
    12  Tennessee         51,496     44,153     70.38    127.87    1.65
    24  Texas            129,201     96,157     13.84     14.96    1.04
    13  Utah              18,657     14,836     99.46     68.25    1.65
    50  Vermont              124        137   372.41*   705.88*    0.04
    16  Virginia          67,695     49,011    200.55  1746.68*    1.52
    25  Washington        32,271     26,058     71.61    116.64    0.97
    49  West Virginia        687        685     48.91    170.75    0.08
    28  Wisconsin         25,164     19,695     62.33    249.02    0.78
    45  Wyoming              921        677     90.17    165.49    0.28

    *Actual increase may not be as high due to data collection changes or improvements

              Top 100 U.S. Metro Foreclosure Market Data - 2008

                                                                     %Change
    Rate                                                    %Housing   from
    Rank  State            Metro Name                 Total   Units    2007
     1 CA          STOCKTON                           21,127   9.46    99.16
     2 NV          LAS VEGAS/PARADISE                 67,223   8.89   121.31
     3 CA          RIVERSIDE/SAN BERNARDINO          112,284   8.02   117.02
     4 CA          BAKERSFIELD                        16,208   6.17   115.42
     5 AZ          PHOENIX/MESA                       97,684   6.02   220.77
     6 FL          FORT LAUDERDALE                    47,387   5.95   127.81
     7 FL          ORLANDO                            46,843   5.48   195.84
     8 FL          MIAMI                              49,697   5.21    96.46
     9 CA          SACRAMENTO                         39,876   5.20    67.74
    10 MI          DETROIT/LIVONIA/DEARBORN           38,106   4.52    -7.67
    11 FL          SARASOTA/BRADENTON/VENICE          17,256   4.50   153.58
    12 CA          FRESNO                             12,571   4.20   102.50
    13 FL          TAMPA/ST PETERSBURG/CLEARWATER     53,630   4.14   122.66
    14 CA          OAKLAND                            38,797   4.09    99.34
    15 CA          SAN DIEGO                          44,931   3.99   122.24
    16 FL          PALM BEACH                         23,399   3.71    96.33
    17 GA          ATLANTA/SANDY SPRINGS/MARIETTA     67,007   3.26    33.29
    18 TN-MS-AR    MEMPHIS                            17,245   3.21    52.73
    19 CO          DENVER/AURORA                      32,920   3.20    23.61
    20 CA          VENTURA                             8,422   3.11    94.01
    21 CA          ORANGE                             31,300   3.06   150.38
    22 FL          JACKSONVILLE                       17,025   2.99    78.46
    23 DC-MD-VA-WV WASHINGTON/ARLINGTON/ALEXANDRIA    50,148   2.97  160.79*
    24 OH          CLEVELAND/LORAIN/ELYRIA/MENTOR     27,693   2.94    -0.56
    25 MI          WARREN/FARMINGTON HILLS/TROY       30,817   2.92    42.63
    26 CA          LOS ANGELES/LONG BEACH             96,974   2.89   113.53
    27 IN          INDIANAPOLIS                       20,316   2.76    39.24
    28 OH          AKRON                               8,259   2.69    16.60
    29 OH          TOLEDO                              7,957   2.67    38.24
    30 OH          COLUMBUS                           19,489   2.54    40.99
    31 IL          LAKE/KENOSHA                        6,323   2.52    70.06
    32 CA          SAN JOSE/SUNNYVALE/SANTA CLARA     15,633   2.49   153.25
    33 IL          CHICAGO                            77,226   2.49    53.38
    34 OH          DAYTON                              9,231   2.43    18.16
    35 NJ          NEWARK                             19,607   2.33   123.57
    36 MA          ESSEX                               6,538   2.21   190.45
    37 AZ          TUCSON                              9,043   2.16   113.33
    38 WA          TACOMA                              6,669   2.16   114.64
    39 IN          GARY                                6,032   2.12    93.71
    40 MA          WORCESTER                           6,344   2.02   105.04
    41 NJ          CAMDEN                              9,026   1.87   164.30
    42 OH-KY-IN    CINCINNATI                         16,731   1.85    27.53
    43 CT          NEWHAVEN/MILFORD                    6,314   1.81    66.60
    44 MA          BOSTON/QUINCY                      13,332   1.77   161.10
    45 MO-IL       ST LOUIS                           21,645   1.77    40.15
    46 UT          SALT LAKE CITY                      6,628   1.72    79.52
    47 CT          BRIDGEPORT/STAMFORD/NORWALK         5,874   1.68   140.84
    48 WI          MILWAUKEE/WAUKESHA/WST ALLIS       10,181   1.57    55.94
    49 MO-KS       KANSAS CITY                        13,609   1.56    35.06
    50 MA          SPRINGFIELD                         4,331   1.54   118.19
    51 TX          HOUSTON/BAYTOWN/SUGARLAND          31,981   1.52    28.35
    52 TN          NASHVILLE/DAVIDSON                  9,434   1.51    77.97
    53 TX          FORT WORTH/ARLINGTON               11,540   1.50    -6.14
    54 AR          LITTLE ROCK/NORTH LITTLE ROCK       4,336   1.49    60.47
    55 TX          DALLAS                             22,992   1.49    -7.74
    56 RI          PROVIDENCE/NEW BEDFORD              6,583   1.46   257.97
    57 NC-SC       CHARLOTTE/GASTONIA                  9,802   1.45     3.99
    58 NJ          EDISON                             13,399   1.44    73.49
    59 MN-WI       MINNEAPOLIS/ST PAUL/BLOOMINGTON    18,450   1.41    70.86
    60 MD          BETHESDA/FREDERICK/GAITHERSBURG     6,098   1.37   103.33
    61 CT          HARTFORD                            6,305   1.29    70.45
    62 NC          GREENSBORO/HIGHPOINT                3,935   1.29    27.84
    63 MA          CAMBRIDGE/NEWTON/FRAMINGHAM         7,585   1.28   161.01
    64 SC          CHARLESTON                          3,501   1.28  317.28*
    65 OR-WA       PORTLAND/VANCOUVER/BEAVERTON       10,684   1.22   106.97
    66 OK          TULSA                               4,777   1.22    35.25
    67 SC          GREENVILLE                          3,100   1.17 1355.40*
    68 TN          KNOXVILLE                           3,542   1.17    95.37
    69 NY          POUGHKEEPSIE/NEWBURGH/MIDDLETOWN    2,826   1.16  330.79*
    70 TX          SAN ANTONIO                         8,033   1.09     4.90
    71 NC          RALEIGH/CARY                        4,444   1.09    14.42
    72 MD          BALTIMORE/TOWSON                   11,776   1.07    47.14
    73 VA          RICHMOND                            5,159   1.03  468.17*
    74 NY          SUFFOLK/NASSAU                      9,984   1.00     2.93
    75 CA          SAN FRANCISCO                       7,168   0.98   105.68
    76 LA          NEW ORLEANS                         4,382   0.98    89.04
    77 PA          PHILADELPHIA                       15,659   0.97    98.24
    78 OK          OKLAHOMA CITY                       4,977   0.97    22.77
    79 VA-NC       NORFOLK/VIRGINIA BEACH/NEWPORT NEWS 5,662   0.95  207.55*
    80 TX          AUSTIN/ROUND ROCK                   5,737   0.94    11.05
    81 PA          PITTSBURGH                         10,013   0.91   147.85
    82 SC          COLUMBIA                            2,704   0.89  181.37*
    83 NY          ROCHESTER                           3,825   0.87    12.37
    84 WA          SEATTLE/BELLEVUE/EVERETT            9,239   0.86    84.19
    85 DE-MD-NJ    WILMINGTON                          2,347   0.84   131.92
    86 TX          MCALLEN/EDINBURG/PHARR              1,982   0.83  549.84*
    87 KY-IN       LOUISVILLE                          4,285   0.79    34.03
    88 NM          ALBUQUERQUE                         2,688   0.77    21.24
    89 NE-IA       OMAHA/COUNCIL BLUFFS                2,613   0.76   -13.51
    90 NY          BUFFALO/CHEEKTOWAGA/TONAWANDA       3,842   0.74   73.85*
    91 NY-NJ       NEW YORK/WAYNE/WHITE PLAINS        31,165   0.71    38.09
    92 KS          WICHITA                             1,698   0.67   156.50
    93 NY          ALBANY/SCHENECTADY/TROY             2,416   0.64   151.67
    94 PA          SCRANTON/WILKES/BARRE/HAZLETON      1,620   0.63   136.50
    95 TX          EL PASO                             1,408   0.56    12.01
    96 PA          ALLENTOWN/BETHLEHEM/EASTON          1,553   0.50   195.25
    97 HI          HONOLULU                            1,647   0.50   218.57
    98 AL          BIRMINGHAM/HOOVER                   2,163   0.47    -8.00
    99 NY          SYRACUSE                            1,028   0.36   182.42
    100 LA         BATON ROUGE                         1,107   0.35    34.51

    *Actual increase may not be as high due to data collection changes or improvements

About RealtyTrac Inc.

Ranked as the third largest real estate site by MediaMetrix and No. 53 on Inc. magazine's 2006 Inc. 500 list of the nation's fastest-growing private companies, RealtyTrac Inc. (www.realtytrac.com), is the leading online marketplace for foreclosure properties, providing all the resources that home seekers, investors and real estate agents need to locate, evaluate and buy properties below market value.

Founded in 1996, RealtyTrac publishes the largest and most comprehensive national database of pre-foreclosure, foreclosure, For Sale By Owner, resale and new homes, with more than 1 million properties across the country, property reports, productivity tools and extensive professional resources. RealtyTrac hosts nearly 3 million unique visitors monthly and has been chosen to supply foreclosure data to MSN Real Estate, Yahoo! Real Estate and The Wall Street Journal's Real Estate Journal. For current news and information regarding foreclosure-related issues and trends, visit our blog at www.ForeclosurePulse.com.