Melrose Foreclosure Activity Continues Downward Trend

While foreclosure activity across Massachusetts increased in October from a year ago, Melrose's trend of reduced foreclosure activity continued, according to the latest figures from The Warren Group.

According to a press release from The Warren Group, foreclosure activity has been suppressed for much of the past year as lenders slowed their public filings to review their procedures for documenting foreclosures.

In October, however, statewide petitions—the first step in the foreclosure process—increased 5.9 percent from a year ago, the first time petitions increased year-over-year since August 2010.

"A rise in foreclosures is troubling for distressed homeowners, but in this case it's a positive signal that the backlog of foreclosures on bank's books is working through the system," said Timothy M. Warren Jr., CEO of The Warren Group, in the press release. "The real estate market cannot fully recover until foreclosures have been dealt with one way or another."

Melrose had one fewer petition (2) filed this past October than it did in October 2010 (3). Year-to-date, there have been 19 petitions filed against Melrose properties, a 62 percent decrease from the 50 petitions filed from January-October last year. Statewide, 10,610 foreclosure petitions have been filed so far this year, down nearly 52 percent from 22,091 petitions filed the same period last year.

Completed Melrose Foreclosures Steady in October, No Auction Announcements

Melrose did not see a change in filed foreclosure deeds, which represent completed foreclosures, between October this year and October 2010, with 2 deeds. According to the Middlesex Registry of Deeds, those foreclosures were on 42 Grandview Ave. and 92 Greenwood St.

Massachusetts as a whole saw a jump in completed foreclosures, with 756 foreclosure deeds recorded in October, a 35.7 percent increase from 557 during the same month a year ago.

Year-to-date, 11 foreclosures have been completed in Melrose, a decrease of more than 54 percent over the 24 completed during the same period last year. Statewide, 6,963 foreclosure deeds have been filed so far this year, a 39 percent decrease compared to 11,334 deeds recorded during the same period last year.

Melrose did not have any foreclosure auction announcements in October, according to the Warren Group, compared to six in October 2010. Massachusetts auction announcements declined 61 percent to 1,284 from 3,292 in October 2010.

Year-to-date, 38 Melrose auctions have been announced, a 24 percent decline from the 50 auctions during the same period in 2010. Statewide, 14,354 auctions have been announced so far this year, a 45 percent decline from 26,049 auctions during the same period in 2010.