http://www.appraisersinbatonrouge.com/ – Baton Rouge Foreclosures and Delinquencies Up In October 2009
Baton Rouge Business Report and First Core Logic are reporting an increase in foreclosures and delinquencies in the Greater Baton Rouge market as of October 2009. The article is located here and here’s a snippet:
“The rate of foreclosures in metro Baton Rouge increased by half a percentage point in October, when compared with the year before. According to First American CoreLogic, which tracks real estate data, the rate of outstanding mortgage loans that were foreclosed upon in October was 1.71%, compared with 1.21% in October 2008. Despite the increase, that’s lower than the national average of 3.02%. The number of homeowners who were behind on their mortgage payments was also up. First Americans says 3.58% of Capital Region mortgages in October 2008 were 90 days or more delinquent, compared with 5.31% this year. That’s also better than the national average, where 7.7% of mortgages are three months or more past due. In October 2008, 4.54% of U.S. mortgages were delinquent.”
Bill Cobb, Appraiser, Commentary:
“This concurs with what I’ve been seeing in this local market since August 2008 where I’ve been seeing more “shadow inventory” than is being reported. Although the problem isn’t that bad as compared to some parts of the U.S., I’ve been wondering when the news would catch up with the reality of the local market.
Another issue that makes it much more difficult for appraisers to truly know the state of foreclosures in a market is here is the new foreclosure market and the way banks dispose of or don’t dispose of REOs. It’s stated here that a recent article (The Landmines Within by Michael Tarabotto http://activerain.com/blogsview/930436/The-Landmines-Within ) stated that as much as 70% of REOs never make it into the MLS – Meaning that it might be impossible to know or state the exact # of competing REOs if they’re not being listed. It’s also very difficult in our local GBRAR MLS to track short sales because both our local MLS doesn’t have a box that states the listing is a short sale and sometimes short sales aren’t reported as short sales on the MLS Sheets.”