US foreclosure filings climbed to a record in the third quarter as lenders seized more properties from delinquent borrowers, according to RealtyTrac Inc.
A total of 937,840 homes received a default or auction notice or were repossessed by banks, a 23% increase from a year earlier, the Irvine, California-based seller of default data said today in a report. One out of every 136 US households received a filing, the highest quarterly rate in records dating to January 2005.
'The problem is prime loans going into foreclosure and people being underwater and losing their jobs,' Richard Green, director of the Lusk Center for Real Estate at the University of Southern California in Los Angeles, said in an interview. 'It’s a really bad number.'