More Texas Bank Foreclosures Expected in October Auction

by on States

Auctions in October will see a lot of Texas bank foreclosures as postings of distressed properties grew to record high in Tarrant County and Dallas-Fort Worth areas.

The number of single-family homes that were foreclosed or on the brink of foreclosure in Tarrant County is expected to reach about 20,000 before the end of this year. Similarly, in Dallas-Fort Worth area, single-family home foreclosure postings are expected to grow to 60,000 before the year ends.

Foreclosure property postings that are headed on the auction block in October are expected to reach 1,975. The figures are second only to those posted in July and marked the seventh succeeding months that property postings have peaked by 1,500.

According to industry experts, the deadline had passed for foreclosure posting filings at county courthouses across Texas for the October 6 auctions.

Records showed that Tarrant County is leading the pack of counties with high Texas bank foreclosures scheduled for auction. Together with Tarrant are other counties in Dallas-Fort Worth such as Collin, Dallas and Denton.

In Dallas-Fort Worth, 5,940 homeowners received notices of foreclosures, representing a 34 percent rise compared with 4,436 notices reported for the auctions in October 2008. According to industry experts, home postings in Dallas-Fort Worth for foreclosure auctions in July totaled 6,072. For October auctions, home postings soared, getting near the July figures.

Experts said that while foreclosure filing increases normally happen within a cycle, the July and October figures were the highest increases in the current foreclosure cycle, and probably the greatest.

For the first 10 foreclosure auctions this year, about 51,000 foreclosure properties in the Dallas-Fort Worth metropolitan area were posted, making another record level in terms of the number of distressed properties posted for the current foreclosure cycle.

Experts said that since 2000, about 11,025 troubled properties were posted for foreclosures in Dallas-Fort Worth. And while the residential real estate in the state is getting a hard beating from the foreclosure problem, the commercial real estate is already starting to feel the crisis.

Already, a staggering number of commercial development projects were foreclosed or in danger of going into foreclosure. The recent notable foreclosure case involves Le Bijou, a townhomes project.