The number of completed foreclosures in Massachusetts dropped close to 44 percent in February to 515, down from 917 during the same month last year, according to the latest report from The Warren Group, publisher of Banker & Tradesman.
The number of foreclosure petitions also declined significantly, decreasing 67 percent to 694 from 2,122 in February 2010.
"This is a remarkable turnaround in foreclosure activity, starting last fall. It demonstrates a new ‘go-slow’ attitude among lenders and a welcome relief for homeowners who are delinquent on their mortgages," said Timothy M. Warren Jr., CEO of The Warren Group. "However, given the continuing high levels of unemployment and the high rates of delinquency on mortgage payments, I’m afraid we’ll be dealing with foreclosure issues for many more months. Only when we see the values of homes rise again will I have confidence that we have turned the corner."
Foreclosure petitions – the first step in the foreclosure process in Massachusetts – have dropped steadily for the past six months. The pace of petitions has remained below 1,000 for the past three months. During eight months in 2010, foreclosure petitions surpassed the 2,000 mark.
Foreclosure deeds have dropped significantly since October. Completed foreclosures reached its lowest point in the fall, when 418 deeds were recorded in November.
Foreclosure petitions and deeds dropped in every county statewide in February – except Dukes and Berkshire Counties. In Berkshire County, foreclosure deeds rose 33 percent. Activity remained unchanged in Dukes County – where two foreclosure deeds were completed in both February 2010 and 2011.
Both foreclosure deeds and petitions have also slumped statewide so far this year. Year-to-date foreclosure petitions dropped almost 63 percent to 1,487 from 3,996 during the first two months in 2010. So far this year, 1,037 foreclosure deeds have been completed, down almost 50 percent from 2,058 during the same period in 2010.
The Warren Group also tracked a drop in auction announcements in February. A total of 842 auctions were announced last month, a near 70 percent decrease from 2,774 in February 2010. Year-to-date announcements totaled 1,992- a 61 percent drop from 5,159 during the same period last year.
