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February 16, 2010

arrowForeclosures will hang around


The foreclosure crisis shows little sign of abating in California as delinquencies and the amount of time it takes to complete the foreclosure process increase, according to a new report.

The time between filing the notice of default and the auction sale at the courthouse steps has jumped from 146 days in August 2008 to 229 days last month, according to ForeclosureRadar, which tracks auction activity.

That's because lenders have delayed foreclosures while working through loan modifications and other foreclosure alternatives and moratoriums, said Sean O'Toole, founder and chief executive of ForeclosureRadar.


Thus, the number of properties in the foreclosure process statewide remain near record levels - even though more foreclosures are being sold at auction to third party investors.

In January, 80 homes were sold to others in Fresno County at the courthouse steps. That was an increase from 47 in December and only eight in January 2009.

"It appears the foreclosure crisis will be with us for many years to come," O'Toole said.

Sandy Nax covers real estate and business for The Fresno Bee. He can be reached at 441-6495 or snax@fresnobee.com



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