National Foreclosure Report AUGUST 20
3.2% In August, the foreclosure inventory was down 3.2 percent from July 20, representing 58 months of consecutive year-over-year declines. Foreclosure inventory fell by 30 percent from the previous year, the largest year-over-year decline since January 2015. The large decline in the distressed inventory has been one of the drivers of steady home price growth which helps Americans increase their home equity to support increased spending or cushion future economic risk. Frank Nothaft, chief economist at CoreLogic 20 CoreLogic Proprietary. This material may not be reproduced in any form without express written permission. 2
National Overview through August 20 There Were 37,000 Completed Foreclosures Nationally, Down From 64,000 in August 2015 Seriously Delinquent Rate Is at 2.8 Percent Lowest Level Since September 2007 Approximately 351,000 homes in the United States were in some stage of foreclosure Compared to 499,000 in August 2015 Completed Foreclosures 37K 42.4% 3.2% in August 20 Decline Year Over Year Compared to August 20 A CoreLogic analysis shows 37,000 foreclosures were completed in August 20, a 42.4 percent year-over-year decline from 64,000* in August 2015. By comparison, before the decline in the housing market in 2007, completed foreclosures averaged 21,000 per month nationwide between 2000 and 2006. On a month-over-month* basis, completed foreclosures were down by 3.2 percent. Completed foreclosures are an indication of the total number of homes actually lost to foreclosure. * August 2015 data was revised. Revisions with public records are standard and to ensure accuracy, CoreLogic incorporates newly released data to provide updated results. 20 CoreLogic Proprietary. This material may not be reproduced in any form without express written permission. AUGUST 20 3
National Foreclosure Inventory THE FORECLOSURE RATE, CURRENTLY AT 0.9 PERCENT, IS BACK TO SEPTEMBER 2007 LEVELS. 29.6% 0.9% Compared to August 2015 Of All Homes with a Mortgage Approximately 351,000 homes in the United States were in some stage of foreclosure as of August 20, compared to 499,000 in August* 2015, a decrease of 29.6 percent. This was the 58th consecutive month with a year-over-year decline. As of August 20, the foreclosure inventory represented 0.9 percent of all homes with a mortgage, compared to 0.9 percent in August 2015. * August 2015 data was revised. Revisions with public records are standard and to ensure accuracy, CoreLogic incorporates newly released data to provide updated results. Foreclosure rates and serious delinquency continued to trend down in August as real estate markets across many parts of the U.S. exhibit strong demand growth and rising prices. With the foreclosure inventory now under 1 percent nationally, the need to boost single family housing stocks through new construction will become more acute in the coming months and years. Anand Nallathambi, president and CEO of CoreLogic 20 CoreLogic Proprietary. This material may not be reproduced in any form without express written permission. 4
Time Series National Overview *in Thousands SEP- 15 OCT- 15 NOV- 15 DEC- 15 JAN- FEB- MAR- APR- MAY- JUN- JUL- AUG- Serious Delinquency* 1,349 1,327 1,288 1,275 1,275 1,228 1,177 1,152 1,123 1,158 1,103 1,085 -MOM % Chg in # -1.3% -1.7% -2.9% -1.0% 0.0% -3.8% -4.2% -2.1% -2.5% 3.0% -4.7% -1.6% -YOY % Chg in # Foreclosure Inventory* -MOM % Chg in # -YOY % Chg in # -20.4% -19.7% -22.0% -21.7% -20.7% -21.5% -20.8% -2-20.9% -.3% -20.8% -20.6% 492 479 465 467 448 440 423 402 390 371 363 351-1.4% -2.7% -2.9% 0.4% -3.9% -1.9% -3.9% -4.8% -3.0% -5.1% -2.1% -3.2% -23.4% -21.5% -21.7% -20.8% -23.1% -23.0% -24.0% -24.1% -24.4% -27.0% -27.6% -29.6% 2.8% THE PERCENTAGE OF MORTGAGES IN SERIOUS DELINQUENCY IS AT 2.8 PERCENT IN AUGUST 20 Completed Foreclosures* 38 40 34 35 39 34 36 35 31 32 34 37 -MOM % Chg in # -39.4% 2.7% -13.0% 1.9% 1-12.0% 6.4% -3.4% -10.8% 2.7% 6.1% 7.7% -YOY % Chg in # -43.2% -23.5% -17.5% -.2% -15.8% -10.0% -14.5% -19.8% -23.6% -20.7% -.6% -42.4% -12-Month Sum* 529 517 510 503 496 492 486 477 468 459 452 425 THE FORECLOSURE INVENTORY RECORDED 58 STRAIGHT MONTHS OF DECLINES. 20 CoreLogic Proprietary. This material may not be reproduced in any form without express written permission. AUGUST 20 5
Foreclosure Inventory by State 29 0.7% 0.9% 1.2% 0.4% 0.7% 0.7% 1.1% 1.0% 1.2% 0.9% 1.1% 0.6% 0.4% 1.8% 2.9% 1.0% 1.3% 1.5% 1.1% 3.2% 1.1% 1.5% 1.8% states have an inventory of foreclosed homes lower than the national rate 1.5% 1.2% 0.7% 1.0% 0.6% 0.4% 1.0% 0.7% 1.6% 1.8% Sixteen states Showed declines of more than 30 percent in year-over-year foreclosure inventory, with Washington ( 39.6%) and Florida ( 39.3%) experiencing the greatest year-over-year declines As of August 20 Source: CoreLogic Market Trends 3.2% Four states and the District of Columbia with the highest foreclosure inventory as a percentage of mortgaged homes New Jersey New York Maine Hawaii D.C. 1.8% 1.8% 1.8% 2.9% 3.2% Five states with the lowest foreclosure inventory as a percentage of mortgaged homes Colorado Minnesota Arizona Utah Michigan 20 CoreLogic Proprietary. This material may not be reproduced in any form without express written permission. 6
State Highlights 55,000 These five states account for almost half of completed foreclosures during the past 12 months. 27,000 624 717 23 3,000 22, 000 21,0 000 469 21 12 341 FL TX OH CA GA Five states with the highest number of completed foreclosures during past 12 months DC ND WV AK MT Four states and the District of Columbia, with the lowest number of completed foreclosures during past 12 months Percent of Homes in Foreclosure CO MN AZ UT VA CA AK NE MI MO MT TN TX ND SD ID WY GA NH AL NC WI WV WA KS AR IA MS OR KY SC MA LA IN VT MD PAIL NV OH OK DE RI NM CT DC FL ME HI NY NJ 0% 1% 2% 3% 4% * VT and SD were removed from the list for incomplete data 5% 6% 7% Judicial Non-Judicial Forty-seven states posted a year-over-year, double-digit decline in foreclosures. Source: CoreLogic August 20 20 CoreLogic Proprietary. This material may not be reproduced in any form without express written permission. AUGUST 20 7
State Foreclosure Data Judicial States JUDICIAL STATES FORECLOSURE INVENTORY FORECLOSURE INVENTORY PCT. CHANGE FROM A YEAR AGO COMPLETED FORECLOSURES (12 MONTHS ENDING AUGUST 20) SERIOUS DELINQUENCY RATE National Foreclosure Inventory Rate: 0.90% Foreclosure Inventory Pct. Change from a Year Ago: 29.6% Completed Foreclosures (12 months ending August 20): 425,426 Serious Delinquency: 2.8% Serious Delinquency Pct.Change from a Year Ago: 20.6% YOY Florida 1.6% 39.3% 54,886 4.2% Ohio 1.2% 20.7% 23,475 3.4% Pennsylvania 1.1% 30.8% 19,635 3.6% New Jersey 3.2% 32.1% 15,451 6.3% New York 2.9% 23.8% 14,943 5.5% Illinois 1.1% 30.4% 13,692 3.3% Indiana 1.0% 27.2% 13,042 3.0% Maryland 1.1% 33.9% 8,6 3.9% South Carolina 1.0% 26.6% 7,655 2.9% Oregon 0.9% 36.8% 7,368 2.1% Oklahoma 1.2% 18.5% 7,172 3.2% Louisiana 1.0% 17.2% 5,353 3.8% Wisconsin 25.4% 5,8 1.8% Kentucky 0.9% 26.4% 3,743 2.9% Kansas 0.7% 27.9% 3,220 2.3% Connecticut 1.5% 21.7% 2,340 3.6% New Mexico 1.5% 28.7% 2,032 3.5% Delaware 1.5% 26.2% 1,777 3.8% Maine 1.8% 12.0% 1,010 4.0% Hawaii 1.8% 29.4% 746 3.3% North Dakota 20.4% 341 1.1% Vermont 1.1%.6%. 2.4% Source: CoreLogic August 20 20 CoreLogic Proprietary. This material may not be reproduced in any form without express written permission. 8
State Foreclosure Data Non-Judicial States NON JUDICIAL STATES FORECLOSURE INVENTORY FORECLOSURE INVENTORY PCT. CHANGE FROM A YEAR AGO COMPLETED FORECLOSURES (12 MONTHS ENDING AUGUST 20) SERIOUS DELINQUENCY RATE Texas 2 27,176 2.3% California 30.9% 22,218 1.4% Georgia 24.4% 21,437 2.9% Michigan 37.2% 20,623 2.0% North Carolina 0.6% 26.4% 15,186 2.5% Tennessee 0.4% 34.7% 12,505 2.9% Virginia 0.4% 29.0% 12,417 2.0% Missouri 29.3% 11,279 2.3% Washington 0.7% 39.6% 10,826 1.9% Arizona 28.9% 9,909 1.5% Alabama 26.9% 8,555 3.3% Nevada 1.2% 34.8% 6,700 3.4% Massachusetts 1.0% 27.6% 5,927 2.8% Minnesota 36.4% 4,881 1.5% National Foreclosure Inventory Rate: 0.90% Foreclosure Inventory Pct. Change from a Year Ago: 29.6% Completed Foreclosures (12 months ending August 20): 425,426 Serious Delinquency: 2.8% Serious Delinquency Pct.Change from a Year Ago: 20.6% YOY Arkansas 0.7% 29.7% 4,606 3.1% Colorado 37.4% 3,824 1.1% Iowa 0.7% 28.3% 3,193 2.0% Idaho 34.9% 2,434 1.5% Utah 31.2% 1,975 1.4% Rhode Island 1.3% 25.5% 1,601 3.8% New Hampshire 28.4% 1,538 1.8% Nebraska 31.6% 1,325 1.5% Mississippi 0.7% 27.5% 997 4.3% Wyoming 13.8% 841 1.9% Montana 0.4% 24.4% 717 1.3% Alaska 5.1% 624 1.2% West Virginia 0.6% 19.7% 469 2.9% District of Columbia 1.8% 26.7% 212 3.2% South Dakota 17.2%. 1.4% Source: CoreLogic August 20 20 CoreLogic Proprietary. This material may not be reproduced in any form without express written permission. AUGUST 20 9
Metropolitan Area Highlights Foreclosure Data for the Largest Core Based Statistical Areas (CBSAs) METROPOLITAN AREA FORECLOSURE INVENTORY FORECLOSURE INVENTORY PCT. CHANGE FROM A YEAR AGO COMPLETED FORECLOSURES (12 MONTHS ENDING AUGUST 20) SERIOUS DELINQUENCY RATE New York-Jersey City-White Plains, NY-NJ 2.8% 27.6% 7,225 5.2% Chicago-Naperville-Arlington Heights, IL 1.2% 32.5% 6,366 3.7% Miami-Miami Beach-Kendall, FL 2.3% 36.9% 5,678 5.8% Houston-The Woodlands-Sugar Land, TX 0.4% 22.5% 5,426 2.4% Las Vegas-Henderson-Paradise, NV 1.3% 33.4% 5,387 3.8% Washington-Arlington-Alexandria, DC-VA- MD-WV 0.8% 30.2% 4,384 2.6% Los Angeles-Long Beach-Glendale, CA 0.4% 29.9% 3,679 1.6% Boston, MA 0.9% 28.1% 1,260 2.7% Denver-Aurora-Lakewood, CO 0.2% 42.3% 996 0.9% San Francisco-Redwood City-South San Francisco, CA 0.1% 32.1% 170 Source: CoreLogic August 20 20 CoreLogic Proprietary. This material may not be reproduced in any form without express written permission. 10
National Foreclosure Report Methodology The data in this report represents foreclosure activity reported through August 20. This report separates state data into judicial versus non-judicial foreclosure state categories. In judicial foreclosure states, lenders must provide evidence to the courts of delinquency in order to move a borrower into foreclosure. In non-judicial foreclosure states, lenders can issue notices of default directly to the borrower without court intervention. This is an important distinction since judicial states, as a rule, have longer foreclosure timelines, thus affecting foreclosure statistics. A completed foreclosure occurs when a property is auctioned and results in the purchase of the home at auction by either a third party, such as an investor, or by the lender. If the home is purchased by the lender, it is moved into the lender s real estate-owned (REO) inventory. In foreclosure by advertisement states, a redemption period begins after the auction and runs for a statutory period, e.g., six months. During that period, the borrower may regain the foreclosed home by paying all amounts due as calculated under the statute. For purposes of this Foreclosure Report, because so few homes are actually redeemed following an auction, it is assumed that the foreclosure process ends in foreclosure by advertisement states at the completion of the auction. The foreclosure inventory represents the number and share of mortgaged homes that have been placed into the process of foreclosure by the mortgage servicer. Mortgage servicers start the foreclosure process when the mortgage reaches a specific level of serious delinquency as dictated by the investor for the mortgage loan. Once a foreclosure is started, and absent the borrower paying all amounts necessary to halt the foreclosure, the home remains in foreclosure until the completed foreclosure results in the sale to a third party at auction or the home enters the lender s REO inventory. The data in this report accounts for only first liens against a property and does not include secondary liens. The foreclosure inventory is measured only against homes that have an outstanding mortgage. Generally, homes with no mortgage liens are not subject to foreclosure and are, therefore, excluded from the analysis. Approximately one-third of homes nationally are owned outright and do not have a mortgage. CoreLogic has approximately 85 percent coverage of U.S. foreclosure data. SOURCE: CORELOGIC The data provided is for use only by the primary recipient or the primary recipient s publication or broadcast. This data may not be re-sold, republished or licensed to any other source, including publications and sources owned by the primary recipient s parent company without prior written permission from CoreLogic. Any CoreLogic data used for publication or broadcast, in whole or in part, must be sourced as coming from CoreLogic, a data and analytics company. For use with broadcast or web content, the citation must directly accompany first reference of the data. If the data is illustrated with maps, charts, graphs or other visual elements, the CoreLogic logo must be included on screen or website. Data provided may not be modified without the prior written permission of CoreLogic. Do not use the data in any unlawful manner. This data is compiled from public records, contributory databases and proprietary analytics, and its accuracy is dependent upon these sources. ABOUT CORELOGIC CoreLogic (NYSE: CLGX) is a leading global property information, analytics and data-enabled solutions provider. The company s combined data from public, contributory and proprietary sources includes over 4.5 billion records spanning more than 50 years, providing detailed coverage of property, mortgages and other encumbrances, consumer credit, tenancy, location, hazard risk and related performance information. The markets CoreLogic serves include real estate and mortgage finance, insurance, capital markets, and the public sector. CoreLogic delivers value to clients through unique data, analytics, workflow technology, advisory and managed services. Clients rely on CoreLogic to help identify and manage growth opportunities, improve performance and mitigate risk. Headquartered in Irvine, Calif., CoreLogic operates in North America, Western Europe and Asia Pacific. For more information, please visit www.corelogic.com. CORELOGIC, the CoreLogic logo are trademarks of CoreLogic, Inc. and/or its subsidiaries. CONTACT For more information, please email pyee@corelogic.com. 20 CoreLogic Proprietary. This material may not be reproduced in any form without express written permission. AUGUST 20 11
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