New York, NY- Although the past week has been short on the good news for the economy, especially after the disappointing jobs report, and with the poverty rate becoming stagnant, but luckily it’s not getting worse. There is one front where the economy is showing greater improvement and that is the housing sector which experienced a decline in foreclosures for the third consecutive month.
A new report from RealtyTrac has some promising news; it showed that foreclosure starts for the month of August slowed down by 15 percent over last year, continuing a 22 month trend of decreased defaults. But it was up 1 percent over last month with 1 in 681 homes entering some stage of foreclosure.
Illinois came in at number one for the most foreclosures in August, experiencing a 29 percent increase in initial defaults. RealtyTrac noted that August was the eighth consecutive month Illinois had an increase in foreclosure activity. Florida also saw an increase in foreclosures.
In addition to slowing foreclosures, the number of homes with negative equity is also declining. Housing prices have stabilized, vacancies are reaching a normal level, and homes have become more affordable.
Even though the housing sector is beginning to recover from the financial collapse, with employment still high many homeowners will need the help of a foreclosure lawyer to help them get a loan modification or negotiate for a short sale.