Foreclosure process slowing in state
The time to foreclose is on the rise throughout California, and Yuba-Sutter is no exception.
Statewide, the time between the filing of the notice of default and the final sale at auction set a record in May when it hit 344 days — three weeks shy of a year and up 10 percent from the previous month, according to ForeclosureRadar.com. In Sutter County, the time to foreclose was up 34 percent, at 314 days, and it was up just 3 percent in Yuba County, at 213 days.
But the latest foreclosure numbers, released this week, also show that on average the investors who resell properties they purchase at auction are doing so at a quicker pace. While they are an indicator of the health of the housing market, it is still too early to tell if the downward trend in the market has reached a turning point.
"The slowing foreclosure process has left fewer affordable homes available for sale," said Sean O'Toole, ForeclosureRadar CEO and founder. "Foreclosure investors may be the only winner so far, benefiting by being able to resell homes purchased at foreclosure auction a little more quickly."
Sutter County bucked the statewide trend of third parties reselling inventory faster, with a 72 percent increase in the time to resell to a third party, at 153 days. Statewide, the time to resell is down 8 percent at 134 days and in Yuba County is down 23 percent at 86 days.
Sutter County had 347 bank-owned homes in May, and Yuba County had 403.
In a continuing trend, the latest ForeclosureRadar numbers also show most foreclosure processes starting in homes with three to four bedrooms, those built between 2000 and 2010 and with an estimated market value of $100,000 to $200,000.
Foreclosure filing activity was down in May in all states except California, which saw an increase in notice of trustee sale filings that may lead to more foreclosure sales in the next few months, according to ForeclosureRadar. California was also the only state to have increases in foreclosure sales back to the bank and to a third party.
