Nationally foreclosure filingsrndecreased in two categories but default notices (NOD, LIS) increased onernpercent from January.  First-time filingsrnaffected a total of 58,886 properties during the month; this was a 7 percentrndecrease from the same month in 2011. Despite the graduate waning of thernforeclosure crisis on a national basis, some states are exhibiting significantrngrowth in some types of filings. </p

Default notices increased more than 30rnpercent in several states, all of them with judicial or quasi-judicialrnforeclosures processes.  The biggestrnincreases were in Hawaii (+321 percent), Maryland (+157 percent), Connecticut (+64rnpercent), South Carolina (+58 percent), Indiana (+37 percent) and Pennsylvania (+35rnpercent.)  There were also states whichrnsaw a big drop in default notices; Nevada (-89 percent), Michigan (-72rnpercent), New York (-44 percent), Iowa (-28 percent) and Kentucky (-25rnpercent).  The decrease in Nevada isrnpartially the result of a new law that requires an additional document to bernfiled before a notice of default.  </p

Foreclosure auctions (NTS, NFS) werernscheduled for the first time on 84,180 U.S. properties in February, down 2rnpercent from January and down 13 percent from February 2011.  Here again there was a lot of variabilityrnamong the states.  In 7 states there werernincreases of 50 percent or more in these filings compared to one year earlierrnincluding Kentucky (+190 percent), Illinois (+170), Iowa (+98 percent),rnPennsylvania (+95 percent), Indiana (+92 percent), and Minnesota (+88 percent)rnand  Maryland (66 percent.) </p

A total of 63,834 properties wererntaken into REO in February, down 4 percent from January and 1 percent from arnyear earlier.  States with annual increasesrnover 50 percent included Massachusetts (+114 percent), North Carolina (95rnpercent), Florida (+90 percent) South Carolina (+87 percent), Georgia (+76rnpercent) and Connecticut (+66 percent).  </p

“February’s numbers point to arngradually rising foreclosure tide as some of the barriers that have beenrnholding back foreclosures are removed,” said Brandon Moore, CEO of RealtyTrac.rn”Although national foreclosure activity was pushed lower by decreases in arnhandful of larger states, 21 states posted annual increases in foreclosurernactivity, the most states with annual increases since November 2010.</p

“The foreclosure and mortgagernsettlement filed in court earlier this week will help pave the way to arnproperly functioning foreclosure process by providing a clear roadmap forrnnecessary foreclosures,” Moore continued. “That should result in more statesrnposting annual increases in the coming months. Not surprisingly, many of thernbiggest annual increases in February were in states with the more bureaucraticrnjudicial foreclosure process, which resulted in a larger backlog ofrnforeclosures built up over the last 18 months in those states.”</p

For the 62 consecutive months Nevadarnhas led the nation in foreclosure activity although February filings representedrna 58 month low.  One in every 278 housingrnunits in the state had a foreclosure filing in February, more than twice thernnational average.  California posted thernnation’s second highest rate in February although foreclosure activity was at arn51-month low. A total of 48,422 California properties had a foreclosure filingrnduring the month, one in every 283 housing units.  Arizona was the third most active state andrnfilings there increased for the second month in a row due mainly to a 33rnpercent jump in scheduled auctions.  Onernin every 312 housing units received a riling during the month. </p