Melrose Foreclosures Continue to Outpace Last Year

While statewide foreclosure activity somewhat abated in June and advertised foreclosure auctions in Melrose fell compared to last year, foreclosure activity in the city continued last month to outpace 2011, according to the latest figures from The Warren Group.

There were four foreclosure petitions filed against Melrose properties last month, the same number of petitions filed in May. There were three petitions, which represent the first step in the foreclosure process, filed in June 2011.

Statewide foreclosure petitions fell to their lowest level so far this year, with  1,254 petitions recorded in June, a 29.5 percent decrease from May. Year-over-year foreclosure petitions, however, rose almost 27 percent in June, from 990 in June 2011.

The Warren Group CEO Timothy M. Warren Jr. called the drop in petitions from May to June "pretty significant" in a press release.

"I believe that an improving economy, more jobs and an active real estate market are having an impact and giving us a moderating trend in foreclosures," Warren said in the release.

In the first half of the year, Melrose foreclosure petitions have more than doubled compared to the same time period last year, with 25 filed so far this year compared to 12 filed in January through June last year.

Statewide, 9,131 petitions to foreclose have been filed, up 68.6 percent from 5,415 during the same period in 2011.

Foreclosure deeds, which represent completed foreclosures, also slightly increased in Melrose year-over-year in June, with three filed last month compared to two filed in June 2011.

Meanwhile, statewide foreclosure deeds decreased almost 24 percent to 715 in June, down from 936 deeds in June 2011, the first time since September 2011 that deeds posted a year-over-year decrease according to The Warren Group.

More Completed Foreclosures After Lenders' Settlement

Completed foreclosures in Melrose so far this year are far outpacing last year. There have been 12 deeds filed against Melrose properties in the first half of the year, compared to four filed in January through June last year.

Statewide, 4,450 foreclosure deeds have been recorded in the first six months of the year, up almost 18 percent from 3,782 a year earlier.

, foreclosures put on hold last year—before a $25 billion settlement in March between the nation's largest lenders and state's attorneys general—are now working their way through the system.

"Foreclosure numbers are beginning to become clearer," Warren said in the press release. "After such a slow year for foreclosures in 2011 that left many distressed properties in limbo, we are starting to see banks work their way through the backlog."

Foreclosure auction announcements in Melrose did drop year-over-year in June, with three auctions compared to seven in June 2011. Statewide auction accouncements fell almost 50 percent to 1,109 from 2,205 a year ago.

Year-to-date auctions in Melrose are down slightly, with 25 in the first half of the year compare to 26 from January through June last year, and statewide
auction announcements decreased 7 percent to 8,132 from 8,788 last year.

Information from a Warren Group press release was used in this report.