The foreclosure rate in Florida is slowing, and for the first time in three months Florida has fallen from the top spot in the list of states with the most foreclosures. Nevada now has the dubious honor of most foreclosure proceedings in America, and the situation in Florida has begun to improve dramatically.
In August 2013, about one in every four hundred Florida homes received a foreclosure notice or was involved in some other type of foreclosure proceeding. This statistic is daunting, but it is down 14 percent from July and 15 percent from the year before. The situation is improving, banks are becoming more reasonable and willing to negotiate, and people are becoming more adept at navigating through the financial storms and hanging on to their homes.
The market has improved across the state, especially in the big cities. Miami still has the most foreclosure proceedings, but their rate was down 14 percent from last month and nearly 20 percent from last year. There has also been an increase in late-proceeding actions occurring, meaning that the foreclosures, which have already begun, are progressing normally. On the other hand, there has been a substantial decrease in early-proceeding actions, implying that the crisis has passed and that the real estate market is on the mend.
The extraordinarily high rate of foreclosures in Florida implies that a mortgage modification may be easier than usual to obtain. Since foreclosure makes each home harder to sell, banks are very strongly motivated to keep homeowners in their homes and seek more reasonable terms. A lawyer may be helpful in working out the best deal possible with those who want to avoid foreclosure.
Source: Miami Herald, “Florida’s foreclosure rate drops to No. 2 behind Nevada“, Martha Brannigan, September 12, 2013