Utah had the 10th-highest rate of foreclosure-related filings nationwide in the first half of the year, a new report shows.
Nevada had the highest rate, with 1.76 percent of all housing units receiving some sort of foreclosure notice in the first six months of the year, reports foreclosure listing firm RealtyTrac. Arizona was No. 2 (1.73 percent), followed by Georgia (1.60 percent), California (1.56 percent) and Florida (1.55 percent).
Rounding out the top 10 were Illinois (1.40 percent), Michigan (1.02 percent), Colorado (0.97 percent), Ohio (0.94 percent) and Utah (0.93 percent), which has been hanging in the top 10 in recent months..
The RealtyTrac report suggests a second wave of foreclosures may hit the market by early next year. In June, the number of U.S. homes entering the foreclosure process for the first time increased on an annual basis for the second month in a row, RealtyTrac said.
But that may not be all bad news for Utah. The inventory of homes for sale along the Wasatch Front is low, especially in the $300,000-and-under price range, said Salt Lake Board of Realtors president Donna Pozzuoli.
Low inventory levels have led to an increase in multiple-offer situations for available homes; many well-priced units in good condition are being snapped up fast. And many buyers are frustrated with fewer choices and the high level of competition among potential buyers.
The increase in foreclosure filings comes as banks make up for time lost last year as the mortgage-lending industry grappled with allegations that it had processed foreclosures without verifying documents.
RealtyTrac forecasts some 700,000 homes will be repossessed by lenders this year, down from about 1 million last year.