Foreclosures List Numbers Declined in Wisconsin in 2010

by Simon Lindsay on Foreclosure Listings

Properties under foreclosures list and foreclosure filings declined slightly in Wisconsin in 2010 compared with year-ago levels. Most analysts are predicting that 2011 will be much the same as 2010, unless the job market improves and the housing industry achieves a considerable recovery.

Bank foreclosures in Madison and in the rest of the state recorded lower numbers compared with 2009 levels, although the difference between the two years' totals was less than 1,000. Total filings for 2010 reached 29,940 which represented a slight improvement from record 2009 levels when total filings reached 30,639 according to data released by ForeclosureAlarm. In terms of percentage, the decline was pegged at 2.2%.

According to most housing market analysts, the same will likely happen in 2011. If the economy improves, the number of Wisconsin foreclosures for sale might decline, but only slightly. Analysts stated that the less-than-enthusiastic predictions are based on the fact that most factors that feed foreclosures have not been eliminated. These factors, analysts explained, include high unemployment levels and mortgage loans that are worth more than the values of homes for which they were taken out.

Housing experts have also stated that the more filings issued and more properties put under a foreclosures list, the more depressed the prices of residential properties become, which in turn creates pressure on the overall economy. All these factors, experts agree, can lead to further loan delinquencies and heavier bank losses. Despite the gloomy outlook for 2011, majority of analysts agree that the bottom seemed to have been hit when it comes to foreclosure-related filings.

Since 2007, full year total numbers of bank foreclosed homes and other foreclosure properties have not gone lower than 21,000 in Wisconsin. The increase from 2006 was considerable given that in that year, 16,500 filings were recorded. In 2005, the state had 12,300 foreclosure-related filings. Foreclosures climbed in December in most counties of the state, but still ended the year with a decline of about 2% when compared with 2009 levels.

Analysts stated that the problem of foreclosures has been gradually happening during the early part of the decade, but it took some time before it became a really serious issue. They stated that recovery will also be slow, with properties under foreclosures list declining slowly within a few years.

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