Tennessee Foreclosure Trends: October 2010 How many/where ...
Tennessee Foreclosure Trends: October 2010 How many/where/patterns Hulya Arik, Ph.D. December, 2010
According to the latest data from the RealtyTrac® US Foreclosure Market Report, Tennessee reported 2,665 properties with foreclosure filings1 in October 2010. This volume represents a four percent increase from the previous month (September 2010) and a 34 percent decline from the same month last year (October 2009). A primary reason behind this substantial decline from last year is likely due to the combined effect of a 90-day HUD imposed moratorium on the foreclosure of FHA insured properties in 45-presidentially-declared federal disaster counties affected by May 2010 flood2 and actions by the State legislature to amend TCA 35-5-117, which has resulted in an increased time frame for processing foreclosures in the State3. In terms of the total number of properties with foreclosure filings, the U.S. had a four percent increase from September 2010, and no change from October 2009. On average, there was one filing for every 389 housing units in the nation. Nevada had the nation’s highest foreclosure rate with one foreclosure filing for every 79 housing units. Tennessee had one foreclosure filing for every 1,035 housing units.
1
For Tennessee, RealtyTrac’s report (http://relatytrac.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
More information about the 90-day moratorium and the list of presidentially-declared federal disaster counties can be found at http://www.hud.gov/offices/hsg/sfh/nsc/disaster.cfm 3
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 October 2010, there were 1,097 properties with the notice of trustee sales (NTS), a 59 percent increase from the last month and a 42 percent decline from the same month last year (October 2009). The number of properties repossessed by the lenders (REOs) in October 2010 was 1,568, a 16 percent decline from the last month (September 2010) and 26 percent decline from the same month last year (October 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
Oct-08 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
0
NTS (Notice of Trustee Sales)
REO
TOTAL
Source: RealtyTrac
The total foreclosure filings in four counties (Davidson, Hamilton, Knox, and Shelby) accounted for 59 percent of the total foreclosure filings in the State in October 2010. Shelby County, with one filing for every 448 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 (898). In Shelby County, the total volume of foreclosure filings increased by 37 percent from the previous month and declined by 34 percent from the same month last year (October 2009). The county with the second highest number of properties with foreclosure filings was Davidson (311), followed by Hamilton County (185) and Knox County (177). Compared to October 2009, the total number of properties with foreclosure filings declined in October 2010 in Davidson, and Knox Counties, by 35 percent and 21 percent, respectively, while increased in Hamilton County by 16 percent. Compare to the previous month (September 2010), in Davidson and Hamilton counties, foreclosure filings increased from by 27 and 38 percent, respectively. Knox County had a three percent decline. Forty-nine counties recorded declines in foreclosure filings from last month, while 37 counties had increases. Nine counties did not see any change in the number of properties with foreclosure filings.
Total Number of Properties with Foreclosure Filings-Tennessee Counties- October 2010 October 2010 September 2010 October 2009 Percent Changes
County Name 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
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
1/every X Ranking Housing Unit among all (Rate) counties* 2,285 62 1,454 28 1,800 41 5,411 88 1,395 26 1,887 46 3,833 85 2,847 75 1,357 25 2,490 68 1,053 13 2,265 61 1,668 36 -93 1,507 30 2,586 70 2,122 57 2,436 67 912 8 6,762 90 2,219 59 1,680 37 2,859 76 2,098 55 1,593 32 2,720 73 1,622 34 2,293 63 1,707 39 2,374 65 2,195 58 1,210 19 813 6 3,407 82 1,902 48 3,385 81 2,903 77 1,712 40
Total Number Total Number of Properties of Properties % Change % Change with with from from Foreclosure Foreclosure September October Filings Filings 2010 2009 -21% -56% 19 34 15 20 -20% -40% 6 3 -17% 67% 1 5 0% -80% 33 60 15% -37% 36 49 -39% -55% 9 13 -44% -62% 6 5 -67% -60% 9 12 11% -17% 7 10 57% 10% 40 25 -63% -40% 2 7 50% -57% 2 9 350% 0% 0 0 --14 12 -21% -8% 11 25 -18% -64% 7 8 -57% -63% 12 44 -17% -77% 244 476 27% -35% 1 2 0% -50% 3 2 33% 100% 21 25 -43% -52% 8 20 -25% -70% 6 6 17% 17% 4 7 25% -29% 12 17 -42% -59% 14 30 0% -53% 13 10 -54% -40% 4 2 50% 200% 25 22 -48% -41% 4 6 -25% -50% 23 36 -4% -39% 134 159 38% 16% 2 1 -50% 0% 2 10 200% -40% 3 5 33% -20% 15 11 -40% -18% 4 12 25% -58%
Total Number of Properties with Foreclosure Filings-Tennessee Counties- October 2010, Continued October 2010 September 2010 October 2009 Percent Changes
County Name 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
Total Number of Properties with Foreclosure Filings 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
1/every X Ranking Housing Unit among all (Rate) counties* 12,103 3,333 1,332 2,043 1,283 2,707 3,224 1,703 1,111 2,769 965 8,702 1,257 1,817 2,013 1,900 1,199 6,750 1,076 693 1,621 1,179 1,911 1,262 1,588 -2,027 1,866 2,401 1,441 -1,661 1,808 1,974 2,254 980 1,007 4,667
92 80 24 54 23 72 79 38 16 74 9 91 21 43 52 47 18 89 15 3 33 17 49 22 31 93 53 45 66 27 93 35 42 51 60 10 11 87
Total Number Total Number of Properties of Properties % Change % Change with with from from Foreclosure Foreclosure September October Filings Filings 2010 2009 4 14 10 2 7 2 21 3 182 0 10 11 3 5 30 12 35 3 14 57 21 12 2 17 58 1 2 10 2 0 1 3 15 18 20 36 118 2
6 11 10 1 4 3 27 4 223 1 9 17 7 13 53 5 82 4 18 38 33 20 7 22 59 1 7 7 6 0 1 8 24 18 22 46 178 3
-75% -64% -30% 0% 0% 0% -67% 67% -3% -20% -82% 33% 60% -67% -58% 3% -33% -14% -9% -33% -17% 50% -12% -26% -100% 100% -20% 100% --100% 67% 13% -61% -45% -28% -14% 0%
-83% -55% -30% 100% 75% -33% -74% 25% -21% 0% 33% -88% -43% -38% -81% 0% -56% -50% -33% 37% -58% -50% -57% -32% -27% -100% -43% 14% -33% --100% -38% -29% -61% -50% -43% -43% -33%
Total Number of Properties with Foreclosure Filings-Tennessee Counties- October 2010, Continued October 2010 September 2010 October 2009 Percent Changes
County Name Sequatchie Sevier Shelby Smith Stewart Sullivan Sumner Tipton Trousdale Unicoi Union Van Buren Warren Washington Wayne Weakley White Williamson Wilson Tennessee** U.S. Total
Total Number of Properties with Foreclosure Filings 7 58 898 13 3 20 51 16 1 2 5 1 6 20 3 8 12 62 41 2,665 332,172
1/every X Ranking Housing Unit among all (Rate) counties* 745 747 448 637 2,111 3,709 1,243 1,463 3,425 4,289 1,844 2,577 2,908 2,676 2,356 1,966 890 1,014 1,066 1,035 389
4 5 1 2 56 84 20 29 83 86 44 69 78 71 64 50 7 12 14 36
Total Number Total Number of Properties of Properties % Change % Change with with from from Foreclosure Foreclosure September October Filings Filings 2010 2009 5 63 656 5 1 64 74 22 2 2 2 0 4 31 6 3 4 38 37 2,553 347,420
12 100 1,360 4 3 32 98 34 2 2 7 2 16 29 3 6 10 59 53 4,030 332,292
40% -8% 37% 160% 200% -69% -31% -27% -50% 0% 150% -50% -35% -50% 167% 200% 63% 11% 4% -4%
-42% -42% -34% 225% 0% -38% -48% -53% -50% 0% -29% -50% -63% -31% 0% 33% 20% 5% -23% -34% 0%
*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 2,665 properties with foreclosure filings1 in October 2010. This volume represents a four percent increase from the previous month (September 2010) and a 34 percent decline from the same month last year (October 2009). A primary reason behind this substantial decline from last year is likely due to the combined effect of a 90-day HUD imposed moratorium on the foreclosure of FHA insured properties in 45-presidentially-declared federal disaster counties affected by May 2010 flood2 and actions by the State legislature to amend TCA 35-5-117, which has resulted in an increased time frame for processing foreclosures in the State3. In terms of the total number of properties with foreclosure filings, the U.S. had a four percent increase from September 2010, and no change from October 2009. On average, there was one filing for every 389 housing units in the nation. Nevada had the nation’s highest foreclosure rate with one foreclosure filing for every 79 housing units. Tennessee had one foreclosure filing for every 1,035 housing units.
1
For Tennessee, RealtyTrac’s report (http://relatytrac.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
More information about the 90-day moratorium and the list of presidentially-declared federal disaster counties can be found at http://www.hud.gov/offices/hsg/sfh/nsc/disaster.cfm 3
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 October 2010, there were 1,097 properties with the notice of trustee sales (NTS), a 59 percent increase from the last month and a 42 percent decline from the same month last year (October 2009). The number of properties repossessed by the lenders (REOs) in October 2010 was 1,568, a 16 percent decline from the last month (September 2010) and 26 percent decline from the same month last year (October 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
Oct-08 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
0
NTS (Notice of Trustee Sales)
REO
TOTAL
Source: RealtyTrac
The total foreclosure filings in four counties (Davidson, Hamilton, Knox, and Shelby) accounted for 59 percent of the total foreclosure filings in the State in October 2010. Shelby County, with one filing for every 448 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 (898). In Shelby County, the total volume of foreclosure filings increased by 37 percent from the previous month and declined by 34 percent from the same month last year (October 2009). The county with the second highest number of properties with foreclosure filings was Davidson (311), followed by Hamilton County (185) and Knox County (177). Compared to October 2009, the total number of properties with foreclosure filings declined in October 2010 in Davidson, and Knox Counties, by 35 percent and 21 percent, respectively, while increased in Hamilton County by 16 percent. Compare to the previous month (September 2010), in Davidson and Hamilton counties, foreclosure filings increased from by 27 and 38 percent, respectively. Knox County had a three percent decline. Forty-nine counties recorded declines in foreclosure filings from last month, while 37 counties had increases. Nine counties did not see any change in the number of properties with foreclosure filings.
Total Number of Properties with Foreclosure Filings-Tennessee Counties- October 2010 October 2010 September 2010 October 2009 Percent Changes
County Name 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
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
1/every X Ranking Housing Unit among all (Rate) counties* 2,285 62 1,454 28 1,800 41 5,411 88 1,395 26 1,887 46 3,833 85 2,847 75 1,357 25 2,490 68 1,053 13 2,265 61 1,668 36 -93 1,507 30 2,586 70 2,122 57 2,436 67 912 8 6,762 90 2,219 59 1,680 37 2,859 76 2,098 55 1,593 32 2,720 73 1,622 34 2,293 63 1,707 39 2,374 65 2,195 58 1,210 19 813 6 3,407 82 1,902 48 3,385 81 2,903 77 1,712 40
Total Number Total Number of Properties of Properties % Change % Change with with from from Foreclosure Foreclosure September October Filings Filings 2010 2009 -21% -56% 19 34 15 20 -20% -40% 6 3 -17% 67% 1 5 0% -80% 33 60 15% -37% 36 49 -39% -55% 9 13 -44% -62% 6 5 -67% -60% 9 12 11% -17% 7 10 57% 10% 40 25 -63% -40% 2 7 50% -57% 2 9 350% 0% 0 0 --14 12 -21% -8% 11 25 -18% -64% 7 8 -57% -63% 12 44 -17% -77% 244 476 27% -35% 1 2 0% -50% 3 2 33% 100% 21 25 -43% -52% 8 20 -25% -70% 6 6 17% 17% 4 7 25% -29% 12 17 -42% -59% 14 30 0% -53% 13 10 -54% -40% 4 2 50% 200% 25 22 -48% -41% 4 6 -25% -50% 23 36 -4% -39% 134 159 38% 16% 2 1 -50% 0% 2 10 200% -40% 3 5 33% -20% 15 11 -40% -18% 4 12 25% -58%
Total Number of Properties with Foreclosure Filings-Tennessee Counties- October 2010, Continued October 2010 September 2010 October 2009 Percent Changes
County Name 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
Total Number of Properties with Foreclosure Filings 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
1/every X Ranking Housing Unit among all (Rate) counties* 12,103 3,333 1,332 2,043 1,283 2,707 3,224 1,703 1,111 2,769 965 8,702 1,257 1,817 2,013 1,900 1,199 6,750 1,076 693 1,621 1,179 1,911 1,262 1,588 -2,027 1,866 2,401 1,441 -1,661 1,808 1,974 2,254 980 1,007 4,667
92 80 24 54 23 72 79 38 16 74 9 91 21 43 52 47 18 89 15 3 33 17 49 22 31 93 53 45 66 27 93 35 42 51 60 10 11 87
Total Number Total Number of Properties of Properties % Change % Change with with from from Foreclosure Foreclosure September October Filings Filings 2010 2009 4 14 10 2 7 2 21 3 182 0 10 11 3 5 30 12 35 3 14 57 21 12 2 17 58 1 2 10 2 0 1 3 15 18 20 36 118 2
6 11 10 1 4 3 27 4 223 1 9 17 7 13 53 5 82 4 18 38 33 20 7 22 59 1 7 7 6 0 1 8 24 18 22 46 178 3
-75% -64% -30% 0% 0% 0% -67% 67% -3% -20% -82% 33% 60% -67% -58% 3% -33% -14% -9% -33% -17% 50% -12% -26% -100% 100% -20% 100% --100% 67% 13% -61% -45% -28% -14% 0%
-83% -55% -30% 100% 75% -33% -74% 25% -21% 0% 33% -88% -43% -38% -81% 0% -56% -50% -33% 37% -58% -50% -57% -32% -27% -100% -43% 14% -33% --100% -38% -29% -61% -50% -43% -43% -33%
Total Number of Properties with Foreclosure Filings-Tennessee Counties- October 2010, Continued October 2010 September 2010 October 2009 Percent Changes
County Name Sequatchie Sevier Shelby Smith Stewart Sullivan Sumner Tipton Trousdale Unicoi Union Van Buren Warren Washington Wayne Weakley White Williamson Wilson Tennessee** U.S. Total
Total Number of Properties with Foreclosure Filings 7 58 898 13 3 20 51 16 1 2 5 1 6 20 3 8 12 62 41 2,665 332,172
1/every X Ranking Housing Unit among all (Rate) counties* 745 747 448 637 2,111 3,709 1,243 1,463 3,425 4,289 1,844 2,577 2,908 2,676 2,356 1,966 890 1,014 1,066 1,035 389
4 5 1 2 56 84 20 29 83 86 44 69 78 71 64 50 7 12 14 36
Total Number Total Number of Properties of Properties % Change % Change with with from from Foreclosure Foreclosure September October Filings Filings 2010 2009 5 63 656 5 1 64 74 22 2 2 2 0 4 31 6 3 4 38 37 2,553 347,420
12 100 1,360 4 3 32 98 34 2 2 7 2 16 29 3 6 10 59 53 4,030 332,292
40% -8% 37% 160% 200% -69% -31% -27% -50% 0% 150% -50% -35% -50% 167% 200% 63% 11% 4% -4%
-42% -42% -34% 225% 0% -38% -48% -53% -50% 0% -29% -50% -63% -31% 0% 33% 20% 5% -23% -34% 0%
*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
