Lenders filed 719 foreclosure petitions in Massachusetts in August, a 65.0 percent increase from the same month last year, according to The Warren Group, publisher of Banker & Tradesman. Petitions mark the first step in the foreclosure process.

August marked the sixth consecutive month of year-over-year foreclosure petition increases but also marked the lowest percentage increase recorded so far this year. A total of 719 foreclosure starts were filed during the month compared with the 436 petitions filed in August 2013. A total of 4,685 foreclosure petitions were filed January through August, a 25.0 percent increase compared with the 3,736 petitions recorded during the same period last year.

 

“Petition filings continue to increase but seem to be tapering off from the triple-digit percentage increases seen earlier this year,” said Timothy M. Warren Jr., CEO of The Warren Group. “I’m convinced that the increases in foreclosure activity are due to properties that have been delinquent and stuck in the pipeline for many months. I don’t believe that the upward trend is an indication of trouble in the real estate market or the economy.”

Year-over-year, deeds increased slightly in August, rising 3.5 percent to 270 from 261 in August 2013. This was the first month deeds have increased year-over-year since March 2014.  A total of 1,822 deeds were filed January through August 2014, a decrease of 14.7 percent compared with the 2,137 deeds recorded in the same timeframe last year. 

The number of auction announcements tracked by The Warren Group decreased in August. Auction announcements declined more than 25 percent to 513 from 693 in August 2013.  Year-to-date, 3,302 auctions have been announced, a 13.0 percent decline from the 3,787 auctions during the same period in 2013.