More foreclosures and delinquent mortgages in Arizona

The Mortgage Bankers Assocation reported yesterday that Arizona residential deliquencies rose to 9.22 percent of homes in Arizona and foreclosures were started on an additional 2.52 percent of AZ mortgages bringing the total to 5.56 per cent of all homes in foreclosure.

"It is difficult to overstate the severe impact home-price declines have had on mortgage performance," said Jay Brinkmann, the MBA's chief economist, in a statement."

Brinkmann also said the MBA suspected the foreclosure numbers had been kept low by foreclosure-moratorium policies imposed by various states, lenders, Fannie Mae and Freddie Mac.

"Now that the guidelines of the administration's loan-modification programs are known, combined with the large number of vacant homes with past-due mortgages, the pace of foreclosures has stepped up considerably," he said.

Assuming the jobless rate doesn't peak until mid-2010, foreclosures and delinquencies will remain elevated until then, Brinkmann predicted.

You can see an example of this with the amount of notices of trustees sales that are scheduled in the next 3 months in the Prescott Valley Market. See map below. Yellow homes are slated for foreclosure in the next 90 days or so, and the home in green are already REOs. In the 86314 Zip Code there are 191 homes scheduled for auction and 150 already bank owned.

Prescott Valley AZ REO and Pending Trustee Sales

If you are on the market for an investment of a second home in Prescott Valley, there are bargains to be had out there and more to come. To search the current inventory of bank-owned homes and short sales in the Prescott area, click here.