Foreclosure activity begins to pick up as banks work through documentation problems.
Foreclosure filings increased by 7 percent in the month of August, but still remain 33 percent below filings for August 2010, according to a report released today by RealtyTrac, an online marketplace for foreclosed properties.
The U.S. Foreclosure Market Report for August 2011 reports that default notices were filed for the first time on 78,880 properties in August, a nine-month high and a 33 percent increase from July for the biggest month-over-month increase since August 2007.
“It foreshadows more bank repossessions in the coming months as these new foreclosures make their way through the process,” said James Saccacio, head of RealtyTrac.
Default notices rose 55 percent in California and more than 40 percent in several states, including New Jersey and Indiana.