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42 DESPITE Q3 DECLINE, ZOMBIE FORECLOSURE PROBLEM LINGERS IN MANY AREAS While zombie foreclosures in the U.S. de- clined overall in the third quarter, they continue to be a problem in some areas, according to Re- altyTrac's Q 3 2014 Zombie Foreclosure Report. RealtyTrac reported that the number of zombie foreclosures, which are vacated homes for which the foreclosure process has begun but has not been completed, increased year-over- year in 60 out of 212 (28 percent) metropolitan areas with a population of more than 200,000 and in 16 states (32 percent) in Q 3, going against the overall national trend of decline. e five states with the largest year-over-year increase in owner-vacated foreclosures in Q 3 were New Jersey (75 percent), North Carolina (65 percent), Oklahoma (37 percent), New York (30 percent), and Alabama (29 percent), according to RealtyTrac. e five metro areas with the largest increase in zombie foreclosures from Q 3 2013 to Q 3 2014 were Trenton, New Jersey (106 percent); Rochester, New York (49 percent); Washington, D.C. (40 percent); New York (38 percent); and Philadelphia (21 percent). Florida had the most zombie foreclosures of any state by far with 35,913, accounting for 31 percent of all zombie foreclosures in the nation, according to RealtyTrac. e second highest total of zombie foreclosures was in New York, with 12,683. New Jersey was a close third with 12,133, followed by Illinois (8,678) and Ohio (4,981). ese five states accounted for 63 percent of the 117,298 zombie foreclosures in the U.S. in Q 3. While Florida had the highest number of zombie foreclosures in any state, the New York metro area (which includes Northern New Jersey and part of Pennsylvania) had the highest total of any metro with 13,366 in Q 3, accounting for 12 percent of all the owner-vacated foreclosures dur- ing the quarter. Miami was second with 9,869, followed by Tampa (7,509), Chicago (7,326), and Philadelphia (5,405), according to RealtyTrac. Zombie foreclosures made up 18 percent of all foreclosures in the U.S. in Q 3, and RealtyTrac reported that 33 states, or 66 percent, had a higher zombie foreclosure rate than the national average of 18 percent during the quarter. e top states were Oregon (36 percent), Nevada (32 percent), Kansas (31 percent), and Maine (28 percent). RealtyTrac reported that 117 out of 212 metro areas with a population of more than 200,000 had a higher zombie foreclosure rate than the 18-percent national average. e leading metro areas were Las Vegas (33 percent); Tampa (28 percent); Palm-Bay-Melbourne-Titusville, Florida (28 percent); Rochester, New York (27 percent); and Lakeland, Florida (27 percent). Zombie foreclosures have been known to lower property values of surrounding homes. But they also present another problem: property tax revenue lost. RealtyTrac estimates nearly $400 million in delinquent property tax revenue resulting from zombie foreclosures in Q2. e top metropolitan statistical area (MSA) as far as delinquent prop- erty tax revenue in Q2, according to RealtyTrac, was New York-Northern New Jersey-Long Is- land, with $208.5 million. is MSA also reported the highest total number of zombie foreclosures of any MSA in the nation in Q2 with 13,574. e MSA with the second highest delinquent tax revenue total was Chicago- Naperville-Joliet with $45.1 million. is area placed third in total zombie foreclosures with 9,975 behind New York and Miami-Fort Lauderdale-Pompano Beach (12,958). Miami placed third in delinquent property tax revenue due to zombie foreclosures, with $36.3 million.