Tennessee Foreclosure Trends: November 2010 How
Tennessee Foreclosure Trends: November 2010 How many/where/patterns Hulya Arik, Ph.D. March, 2010
According to the latest data from the RealtyTrac® US Foreclosure Market Report, Tennessee reported 2,594 properties with foreclosure filings1 in November 2010. This volume represents a three percent decline from the previous month (October 2010) and a 30 percent decline from the same month last year (November 2009). A primary reason behind this decline from last year is likely due to the combined effect of the foreclosure freeze initiated in October 2010 by some major lenders such as Bank of America and a change to state law that resulted in an increased time frame for processing foreclosures in the State2. In terms of the total number of properties with foreclosure filings, the U.S. had a 21 percent decline from October 2010, and a 14 percent decline from November 2009. On average, there was one filing for every 495 housing units in the nation. Nevada had the nation’s highest foreclosure rate with one foreclosure filing for every 99 housing units. Tennessee had one foreclosure filing for every 1,072 housing units.
1
For Tennessee, RealtyTrac’s report (http://realtytrac.com/trendcenter/) incorporates documents filed in two phases of foreclosure: Auction — Notice of Trustee Sale (NTS); and Real Estate Owned (REO) properties that have been foreclosed on and repurchased by a bank. 2
Prior to the change in law, the foreclosure procedure in Tennessee required the lender to send a 30-day demand letter informing borrower about the exact amount to pay by the specified time. At the end of 30-day period, the lender must publish a notice of foreclosure sale at least three times in a newspaper. The first publication must be at least 20 days before the sale. The new bill requires, in addition to the existing requirements, that at least 60 days prior to the first publication of a notice of a foreclosure sale, the lender, trustee or other creditor must send a “notice of the right to foreclosure” to the borrower. The change is applicable to any initiated foreclosure on or after September 1, 2010. More information about TCA 35-5-117 can be found at: http://www.capitol.tn.gov/Bills/106/Bill/HB3588.pdf
In November 2010, there were 1,548 properties with the notice of trustee sales (NTS), a 41 percent increase from the last month and a ten percent decline from the same month last year (November 2009). The number of properties repossessed by the lenders (REOs) in November 2010 was 1,046, a 33 percent decline from the last month (October 2010) and a 48 percent decline from the same month last year (November 2009).
Notice of Trustee Sales, REOs, and Total Number of Properties with Foreclosure Filings in Tennessee 2008-2010 6,000 5,000 4,000 3,000
2,000 1,000
Nov-08 Dec-08 Jan-09 Feb-09 Mar-09 Apr-09 May-09 Jun-09 Jul-09 Aug-09 Sep-09 Oct-09 Nov-09 Dec-09 Jan-10 Feb-10 Mar-10 Apr-10 May-10 Jun-10 Jul-10 Aug-10 Sep-10 Oct-10 Nov-10
0
NTS (Notice of Trustee Sales)
REO
TOTAL
Source: RealtyTrac
The total foreclosure filings in five counties (Davidson, Hamilton, Knox, Rutherford and Shelby) accounted for 56 percent of the total foreclosure filings in the State in November 2010. Shelby County, with one filing for every 527 housing units, had the highest foreclosure rate in the State. The County also had the highest number of properties with foreclosure filings in the State (764). In Shelby County, the total volume of foreclosure filings decreased by 15 percent from the previous month and declined by 44 percent from the same month last year (November 2009). The county with the second highest number of properties with foreclosure filings was Davidson (334), followed by Rutherford County (135) and Knox County (107). Compared to November 2009, the total number of properties with foreclosure filings increased in November 2010 in Davidson County by 14 percent, while Rutherford and Knox Counties saw declines by 23 percent and 55 percent respectively. In Davidson and Rutherford Counties, foreclosure filings increased by seven and 34 percent, respectively, from October 2010. Knox County had a 40 percent decline. Thirty-seven counties recorded declines in foreclosure filings from last month, while 47 counties had increases. Eleven counties did not see any change in the number of properties with foreclosure filings.
Total Number of Properties with Foreclosure Filings-Tennessee Counties- November 2010 November 2010 Total Number of 1/every X Properties with Housing Ranking Foreclosure Unit among all County Name Filings (Rate) counties* Anderson Bedford Benton Bledsoe Blount Bradley Campbell Cannon Carroll Carter Cheatham Chester Claiborne Clay Cocke Coffee Crockett Cumberland Davidson Decatur Dekalb Dickson Dyer Fayette Fentress Franklin Gibson Giles Grainger Greene Grundy Hamblen Hamilton Hancock Hardeman Hardin Hawkins Haywood
14 16 2 3 26 31 12 5 9 5 30 1 11 1 16 13 7 8 334 1 3 13 14 6 4 10 14 10 5 18 2 47 105 0 6 6 10 5
2,461 1,102 4,546 1,822 2,059 1,352 1,623 1,147 1,519 5,533 532 6,865 1,384 4,212 1,047 1,812 918 3,077 854 8,930 2,273 1,566 1,231 2,489 2,009 1,922 1,635 1,384 2,073 1,731 3,323 570 1,439 -1,918 2,275 2,636 1,716
71 20 84 51 58 27 40 21 35 85 3 86 29 82 17 50 12 78 11 87 66 36 25 73 57 54 41 30 60 47 79 5 32 89 53 67 75 46
October 2010 Total Number of Properties with Foreclosure Filings
November 2009 Total Number of Properties with Foreclosure Filings
15 12 5 1 38 22 5 2 10 11 15 3 9 0 11 9 3 10 311 1 4 12 6 7 5 7 14 6 6 13 3 22 185 1 6 4 9 5
41 64 3 1 26 51 25 2 12 10 7 1 5 1 19 24 6 13 292 3 5 31 17 8 2 12 25 15 9 16 6 31 232 0 19 4 23 3
Percent Changes % Change % Change from from October November 2010 2009 -7% 33% -60% 200% -32% 41% 140% 150% -10% -55% 100% -67% 22% -45% 44% 133% -20% 7% 0% -25% 8% 133% -14% -20% 43% 0% 67% -17% 38% -33% 114% -43% -100% 0% 50% 11% 0%
-66% -75% -33% 200% 0% -39% -52% 150% -25% -50% 329% 0% 120% 0% -16% -46% 17% -38% 14% -67% -40% -58% -18% -25% 100% -17% -44% -33% -44% 13% -67% 52% -55% --68% 50% -57% 67%
Total Number of Properties with Foreclosure Filings-Tennessee Counties- November 2010, Continued November 2010 October 2010 November 2009 Percent Changes Total Number of 1/every X Total Number of Total Number of % Change % Change Properties with Housing Ranking Properties with Properties with from from Foreclosure Unit among all Foreclosure Foreclosure October November County Name Filings (Rate) counties* Filings Filings 2010 2009 Henderson Henry Hickman Houston Humphreys Jackson Jefferson Johnson Knox Lake Lauderdale Lawrence Lewis Lincoln Loudon Macon Madison Marion Marshall Maury Mcminn Mcnairy Meigs Monroe Montgomery Moore Morgan Obion Overton Perry Pickett Polk Putnam Rhea Roane Robertson Rutherford Scott
5 6 9 2 6 0 22 7 107 2 6 7 3 4 15 6 41 7 17 51 13 10 0 9 43 1 5 7 1 0 0 5 15 12 44 36 135 4
2,444 2,802 1,046 2,063 1,510 -1,037 1,228 1,848 1,391 1,944 2,505 1,694 3,662 1,357 1,608 1,060 1,950 770 715 1,758 1,187 -2,127 1,612 2,988 1,636 2,144 9,690 --1,681 2,086 1,167 567 714 769 2,357
70 76 16 59 34 89 15 24 52 31 55 74 45 81 28 38 18 56 9 7 48 23 89 62 39 77 42 63 88 89 89 44 61 22 4 6 8 69
1 5 7 2 7 2 7 5 177 1 12 2 4 8 10 5 36 2 12 52 14 10 3 15 43 0 4 8 4 3 0 5 17 7 11 26 101 2
12 9 15 0 6 7 27 1 240 0 7 17 6 13 24 3 42 6 8 59 32 16 4 15 70 0 4 5 1 1 0 4 20 10 20 34 176 2
400% 20% 29% 0% -14% -100% 214% 40% -40% 100% -50% 250% -25% -50% 50% 20% 14% 250% 42% -2% -7% 0% -100% -40% 0% -25% -13% -75% -100% -0% -12% 71% 300% 38% 34% 100%
-58% -33% -40% -0% -100% -19% 600% -55% --14% -59% -50% -69% -38% 100% -2% 17% 113% -14% -59% -38% -100% -40% -39% -25% 40% 0% -100% -25% -25% 20% 120% 6% -23% 100%
Total Number of Properties with Foreclosure Filings-Tennessee Counties- November 2010, Continued November 2010 October 2010 November 2009 Percent Changes Total Number of 1/every X Total Number of Total Number of % Change % Change Properties with Housing Ranking Properties with Properties with from from Foreclosure Unit among all Foreclosure Foreclosure October November County Name Filings (Rate) counties* Filings Filings 2010 2009 Sequatchie Sevier Shelby Smith Stewart Sullivan Sumner Tipton Trousdale Unicoi Union Van Buren Warren Washington Wayne Weakley White Williamson Wilson Tennessee** U.S. Total
10 52 764 5 5 30 64 16 0 2 4 0 11 24 2 7 6 64 42 2,594 262,339
529 843 527 1,676 1,279 2,488 1,002 1,474 -4,317 2,338 -1,604 2,267 3,567 2,263 1,795 989 1,065 1,072 495
2 10 1 43 26 72 14 33 89 83 68 89 37 65 80 64 49 13 19 32
7 58 898 13 3 20 51 16 1 2 5 1 6 20 3 8 12 62 41 2,665 332,172
4 92 1,366 5 4 23 79 22 3 2 7 1 20 32 1 11 8 28 37 3,725 306,627
43% -10% -15% -62% 67% 50% 25% 0% -100% 0% -20% -100% 83% 20% -33% -13% -50% 3% 2% -3% -21%
150% -43% -44% 0% 25% 30% -19% -27% -100% 0% -43% -100% -45% -25% 100% -36% -25% 129% 14% -30% -14%
*County ranking is based on the rate of foreclosure filings, a rank of one means the county had the highest ratio of foreclosure to housing units. **Tennessee ranking in the nation among other states, a rank of one means the state had the highest ratio of foreclosure to housing units. Source: RealtyTrac®
Tennessee Housing Development Agency 404 James Robertson Parkway, Suite 1200 Nashville, Tennessee 37243-0900
www.thda.org 615-815-2200
According to the latest data from the RealtyTrac® US Foreclosure Market Report, Tennessee reported 2,594 properties with foreclosure filings1 in November 2010. This volume represents a three percent decline from the previous month (October 2010) and a 30 percent decline from the same month last year (November 2009). A primary reason behind this decline from last year is likely due to the combined effect of the foreclosure freeze initiated in October 2010 by some major lenders such as Bank of America and a change to state law that resulted in an increased time frame for processing foreclosures in the State2. In terms of the total number of properties with foreclosure filings, the U.S. had a 21 percent decline from October 2010, and a 14 percent decline from November 2009. On average, there was one filing for every 495 housing units in the nation. Nevada had the nation’s highest foreclosure rate with one foreclosure filing for every 99 housing units. Tennessee had one foreclosure filing for every 1,072 housing units.
1
For Tennessee, RealtyTrac’s report (http://realtytrac.com/trendcenter/) incorporates documents filed in two phases of foreclosure: Auction — Notice of Trustee Sale (NTS); and Real Estate Owned (REO) properties that have been foreclosed on and repurchased by a bank. 2
Prior to the change in law, the foreclosure procedure in Tennessee required the lender to send a 30-day demand letter informing borrower about the exact amount to pay by the specified time. At the end of 30-day period, the lender must publish a notice of foreclosure sale at least three times in a newspaper. The first publication must be at least 20 days before the sale. The new bill requires, in addition to the existing requirements, that at least 60 days prior to the first publication of a notice of a foreclosure sale, the lender, trustee or other creditor must send a “notice of the right to foreclosure” to the borrower. The change is applicable to any initiated foreclosure on or after September 1, 2010. More information about TCA 35-5-117 can be found at: http://www.capitol.tn.gov/Bills/106/Bill/HB3588.pdf
In November 2010, there were 1,548 properties with the notice of trustee sales (NTS), a 41 percent increase from the last month and a ten percent decline from the same month last year (November 2009). The number of properties repossessed by the lenders (REOs) in November 2010 was 1,046, a 33 percent decline from the last month (October 2010) and a 48 percent decline from the same month last year (November 2009).
Notice of Trustee Sales, REOs, and Total Number of Properties with Foreclosure Filings in Tennessee 2008-2010 6,000 5,000 4,000 3,000
2,000 1,000
Nov-08 Dec-08 Jan-09 Feb-09 Mar-09 Apr-09 May-09 Jun-09 Jul-09 Aug-09 Sep-09 Oct-09 Nov-09 Dec-09 Jan-10 Feb-10 Mar-10 Apr-10 May-10 Jun-10 Jul-10 Aug-10 Sep-10 Oct-10 Nov-10
0
NTS (Notice of Trustee Sales)
REO
TOTAL
Source: RealtyTrac
The total foreclosure filings in five counties (Davidson, Hamilton, Knox, Rutherford and Shelby) accounted for 56 percent of the total foreclosure filings in the State in November 2010. Shelby County, with one filing for every 527 housing units, had the highest foreclosure rate in the State. The County also had the highest number of properties with foreclosure filings in the State (764). In Shelby County, the total volume of foreclosure filings decreased by 15 percent from the previous month and declined by 44 percent from the same month last year (November 2009). The county with the second highest number of properties with foreclosure filings was Davidson (334), followed by Rutherford County (135) and Knox County (107). Compared to November 2009, the total number of properties with foreclosure filings increased in November 2010 in Davidson County by 14 percent, while Rutherford and Knox Counties saw declines by 23 percent and 55 percent respectively. In Davidson and Rutherford Counties, foreclosure filings increased by seven and 34 percent, respectively, from October 2010. Knox County had a 40 percent decline. Thirty-seven counties recorded declines in foreclosure filings from last month, while 47 counties had increases. Eleven counties did not see any change in the number of properties with foreclosure filings.
Total Number of Properties with Foreclosure Filings-Tennessee Counties- November 2010 November 2010 Total Number of 1/every X Properties with Housing Ranking Foreclosure Unit among all County Name Filings (Rate) counties* Anderson Bedford Benton Bledsoe Blount Bradley Campbell Cannon Carroll Carter Cheatham Chester Claiborne Clay Cocke Coffee Crockett Cumberland Davidson Decatur Dekalb Dickson Dyer Fayette Fentress Franklin Gibson Giles Grainger Greene Grundy Hamblen Hamilton Hancock Hardeman Hardin Hawkins Haywood
14 16 2 3 26 31 12 5 9 5 30 1 11 1 16 13 7 8 334 1 3 13 14 6 4 10 14 10 5 18 2 47 105 0 6 6 10 5
2,461 1,102 4,546 1,822 2,059 1,352 1,623 1,147 1,519 5,533 532 6,865 1,384 4,212 1,047 1,812 918 3,077 854 8,930 2,273 1,566 1,231 2,489 2,009 1,922 1,635 1,384 2,073 1,731 3,323 570 1,439 -1,918 2,275 2,636 1,716
71 20 84 51 58 27 40 21 35 85 3 86 29 82 17 50 12 78 11 87 66 36 25 73 57 54 41 30 60 47 79 5 32 89 53 67 75 46
October 2010 Total Number of Properties with Foreclosure Filings
November 2009 Total Number of Properties with Foreclosure Filings
15 12 5 1 38 22 5 2 10 11 15 3 9 0 11 9 3 10 311 1 4 12 6 7 5 7 14 6 6 13 3 22 185 1 6 4 9 5
41 64 3 1 26 51 25 2 12 10 7 1 5 1 19 24 6 13 292 3 5 31 17 8 2 12 25 15 9 16 6 31 232 0 19 4 23 3
Percent Changes % Change % Change from from October November 2010 2009 -7% 33% -60% 200% -32% 41% 140% 150% -10% -55% 100% -67% 22% -45% 44% 133% -20% 7% 0% -25% 8% 133% -14% -20% 43% 0% 67% -17% 38% -33% 114% -43% -100% 0% 50% 11% 0%
-66% -75% -33% 200% 0% -39% -52% 150% -25% -50% 329% 0% 120% 0% -16% -46% 17% -38% 14% -67% -40% -58% -18% -25% 100% -17% -44% -33% -44% 13% -67% 52% -55% --68% 50% -57% 67%
Total Number of Properties with Foreclosure Filings-Tennessee Counties- November 2010, Continued November 2010 October 2010 November 2009 Percent Changes Total Number of 1/every X Total Number of Total Number of % Change % Change Properties with Housing Ranking Properties with Properties with from from Foreclosure Unit among all Foreclosure Foreclosure October November County Name Filings (Rate) counties* Filings Filings 2010 2009 Henderson Henry Hickman Houston Humphreys Jackson Jefferson Johnson Knox Lake Lauderdale Lawrence Lewis Lincoln Loudon Macon Madison Marion Marshall Maury Mcminn Mcnairy Meigs Monroe Montgomery Moore Morgan Obion Overton Perry Pickett Polk Putnam Rhea Roane Robertson Rutherford Scott
5 6 9 2 6 0 22 7 107 2 6 7 3 4 15 6 41 7 17 51 13 10 0 9 43 1 5 7 1 0 0 5 15 12 44 36 135 4
2,444 2,802 1,046 2,063 1,510 -1,037 1,228 1,848 1,391 1,944 2,505 1,694 3,662 1,357 1,608 1,060 1,950 770 715 1,758 1,187 -2,127 1,612 2,988 1,636 2,144 9,690 --1,681 2,086 1,167 567 714 769 2,357
70 76 16 59 34 89 15 24 52 31 55 74 45 81 28 38 18 56 9 7 48 23 89 62 39 77 42 63 88 89 89 44 61 22 4 6 8 69
1 5 7 2 7 2 7 5 177 1 12 2 4 8 10 5 36 2 12 52 14 10 3 15 43 0 4 8 4 3 0 5 17 7 11 26 101 2
12 9 15 0 6 7 27 1 240 0 7 17 6 13 24 3 42 6 8 59 32 16 4 15 70 0 4 5 1 1 0 4 20 10 20 34 176 2
400% 20% 29% 0% -14% -100% 214% 40% -40% 100% -50% 250% -25% -50% 50% 20% 14% 250% 42% -2% -7% 0% -100% -40% 0% -25% -13% -75% -100% -0% -12% 71% 300% 38% 34% 100%
-58% -33% -40% -0% -100% -19% 600% -55% --14% -59% -50% -69% -38% 100% -2% 17% 113% -14% -59% -38% -100% -40% -39% -25% 40% 0% -100% -25% -25% 20% 120% 6% -23% 100%
Total Number of Properties with Foreclosure Filings-Tennessee Counties- November 2010, Continued November 2010 October 2010 November 2009 Percent Changes Total Number of 1/every X Total Number of Total Number of % Change % Change Properties with Housing Ranking Properties with Properties with from from Foreclosure Unit among all Foreclosure Foreclosure October November County Name Filings (Rate) counties* Filings Filings 2010 2009 Sequatchie Sevier Shelby Smith Stewart Sullivan Sumner Tipton Trousdale Unicoi Union Van Buren Warren Washington Wayne Weakley White Williamson Wilson Tennessee** U.S. Total
10 52 764 5 5 30 64 16 0 2 4 0 11 24 2 7 6 64 42 2,594 262,339
529 843 527 1,676 1,279 2,488 1,002 1,474 -4,317 2,338 -1,604 2,267 3,567 2,263 1,795 989 1,065 1,072 495
2 10 1 43 26 72 14 33 89 83 68 89 37 65 80 64 49 13 19 32
7 58 898 13 3 20 51 16 1 2 5 1 6 20 3 8 12 62 41 2,665 332,172
4 92 1,366 5 4 23 79 22 3 2 7 1 20 32 1 11 8 28 37 3,725 306,627
43% -10% -15% -62% 67% 50% 25% 0% -100% 0% -20% -100% 83% 20% -33% -13% -50% 3% 2% -3% -21%
150% -43% -44% 0% 25% 30% -19% -27% -100% 0% -43% -100% -45% -25% 100% -36% -25% 129% 14% -30% -14%
*County ranking is based on the rate of foreclosure filings, a rank of one means the county had the highest ratio of foreclosure to housing units. **Tennessee ranking in the nation among other states, a rank of one means the state had the highest ratio of foreclosure to housing units. Source: RealtyTrac®
Tennessee Housing Development Agency 404 James Robertson Parkway, Suite 1200 Nashville, Tennessee 37243-0900
www.thda.org 615-815-2200
