Tuesday, May 13, 2008

1000 Foreclosures per Day in California

by Calculated Risk on 5/13/2008 08:04:00 PM

From Peter Viles at the LA Times: Foreclosure flood: 1,000 auctions per day in California

The April total of foreclosure sales at auction -- 22,838 for the state -- represents a jump of 44% over March totals and the highest level ever in California, ForeclosureRadar reports.
It appears the pipeline of potential foreclosures is jampacked, too: the ForeclosureRadar reported 44,101 new "Notices of Default" filings in April, a new record for California. Notices of Default are the first step in the foreclosure process.
I've been tracking the quarterly data from DataQuick, and this monthly data suggests the graph from this earlier post was very conservative! (graph repeated)

California Notice of Defaults (NODs) Click on graph for larger image.

For 2008, the number of NODs was estimated at 4 times the Q1 rate. Based on recent experience - with NODs increasing every quarter for the last 3 years - this is probably conservative.

As bad as 2007 was, 2008 will be much much worse.