If you follow the housing market, then you know that most of its most severe problems are concentrated in a few key states. They include Nevada, Florida, Arizona, California, and Michigan. In fact, the pain is focused even further into some specific cities in these states. Foreclosure data specialist RealtyTrac today released its tally of foreclosure activity for the third quarter by metropolitan statistical area (MSA). Cities in these five state dominated the top of the list.
In general RealtyTrac found foreclosure activity up in 65% of MSAs, but down in many of the hardest hit areas last quarter, compared to the same period in 2009. Because foreclosure activity is a broad category, it's helpful to break it out into types of activity, which include defaults, auctions, and bank repossessions. Because RealtyTrac's data is a little spotty on defaults, I'll just focus on auctions and bank repos here.
Let's start with the 20 highest concentrations of properties that received auction notices:
Again, it's clear which states dominate. Seven of these cities are in California, four in Florida, and three in Arizona. It's rather incredible that one in every 69 properties in the Phoenix-Mesa-Scottsdale MSA was listed for auction in the third quarter alone.