Melrose Foreclosure Starts Increase in November

While foreclosure activity in Melrose is still down in 2011 compared to 2010, according to the latest figures from The Warren Group, November saw a year-over-year increase in activity.

There were five foreclosure petitions—the first step in the foreclosure process—filed against Melrose properties in November, compared to three filed in November 2010. Statewide, petitions dropped to 1,015, an 8 percent decline from 1,109 a year earlier.

Year-to-date numbers still look better than 2010. There have been 24 petitions filed against Melrose properties through November 2011, a 55 percent decrease from the 53 petitions filed in January-November 2010.

Statewide, November marked the fifth consecutive month that foreclosure petitions stayed above 1,000. According to a press release from The Warren Group, this is the fewest number of petitions filed since June, when there were 990 petitions filed. A total of 11,625 foreclosure petitions were filed through November statewide, down almost 50 percent from 23,200 during the same period in 2010.

Also, there were five foreclosure auction announcements in Melrose for November, compared to three announcements a year earlier. Statewide, the number of auction announcements tracked by The Warren Group fell to 1,270, a near 41 percent drop from 2,152 in November 2010.

Year-to-date Melrose foreclosure auctions are down 17 percent, with 44 filed through November 2011, compared to 53 filed January-November 2010. Statewide, year-to-date auction announcements are down more than 44 percent, with  15,720 auctions announced, down from 28,201 during the same period last year.

Year-Over-Year Decrease in Completed Foreclosures

Melrose did see a decrease in foreclosure deeds recorded in November, which represent completed foreclosures. There was one foreclosure deed recorded, compared to three the same month in 2010. Meanwhile, the number of completed foreclosures in Massachusetts jumped more than 70 percent in November, which The Warren Group said in its press release indicated that lenders improved their ability to process foreclosure paperwork after a slowdown over the past 12 months.

"An increase in foreclosure deeds tells us that the backlog of foreclosures is moving through the process. The modest decline in petitions could indicate that an improving employment picture is leading to fewer mortgage delinquencies," said Timothy M. Warren Jr., CEO of The Warren Group, in the release.

Year-to-date foreclosure deeds through November 2011 are down 55 percent compared to the same time period in 2010, with 12 recorded in 2011 and 27 a year earlier. Statewide, a total of 7,685 foreclosure deeds have been completed this year, down nearly 35 percent from 11,752 deeds recorded during the same period last year.

This is the second consecutive month that year-over-year foreclosure deeds have risen, according to The Warren Group release. Previously, deeds posted 12 straight months of declines—each month recording double-digit declines. The comparison with 2010 data, The Warren Group said, may be skewed after the passage of a new law extending the right-to-cure period to 150 days.