Melrose Foreclosures Stall in May

While statewide foreclosure activity rose again in May, Melrose's foreclosure activity stayed the same year-over-year, according to the latest figures from The Warren Group.

Last month there were four foreclosure petitions—which represent the first step in the foreclosure process—filed against Melrose properties, the same number of petitions filed in May 2011.

Statewide, the number of foreclosure petitions more than doubled year-over-year, rising to 1,724 from 699 in May 2011. Petitions have surpassed the 1,000 mark every month since July.

The number of Melrose foreclosure petitions in Melrose so far this year is still far outpacing last year, with 20 filed year-to-date, compared to nine filed in the same time period last year. Statewide, 7,822 petitions to foreclose have been filed, up 77 percent from 4,425 during the same period in 2011.

According to a press release from The Warren Group, a $25 billion settlement between the nation's largest lenders and state's attorneys general is expected to jump-start foreclosures that were previously suppressed while banks reviewed procedures for documenting foreclosures.

"Foreclosures are expected to rise throughout this year. We're seeing banks acting more aggressively in resuming foreclosures that were put on hold in 2011," said Cory S. Hopkins, editorial director of The Warren Group, in the press release. "In order to return to a healthier market, we need these distressed properties to get cleared from banks' books. The increased activity also leads to opportunity for buyers."

Last month, there was one foreclosure deed—which represents a completed foreclosure—filed against a Melrose property, the same as in May 2011. Statewide, foreclosure deeds increased more than 32 percent to 755 in May from 571 in May 2011.

So far nine Melrose properties have been foreclosed upon in 2012, compared to two in the first five months of 2011. Statewide, a total of 3,736 foreclosure deeds have been recorded in the first five months of the year, up 31.3 percent from 2,846 a year earlier.

Like petitions and deeds, foreclosure auctions in Melrose last month matched May 2011, with five advertised auctions. Statewide, there were 1,397 auction announcements in May, down 27 percent from 1,908 a year ago.

So far this year there have been 22 advertised foreclosure auctions in Melrose, compared to 19 in the same time period last year. Year-to-date auction notices statewide are up about 6 percent, rising to 6,974 from 6,583 last year.

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