Foreclosures Up 33% In New Jersey, OUTPACING National Rate

The Record ( — Friday, April 16, 2010

By Kathleen Lynn

What's new: Foreclosure filings in New Jersey rose 33 percent in the first quarter of 2010, compared with the same period in 2009, according to RealtyTrac, a California company that follows the foreclosure market.

Nationally, foreclosure filings were up 16 percent in the same time span.

What it means: The housing market's distress is not over, despite government efforts to encourage lenders to make loans more affordable for struggling homeowners.

How lenders are responding: In New Jersey, 33,612 mortgages are being modified through the federal Making Home Affordable Program; most of these modifications are trial runs. Nationally, more than 1 million loans are in the modification program.

Where foreclosures are most severe: Nevada, Arizona, Florida and California.

What they're saying:

"Lenders are starting to make a dent in the backlog of distressed inventory that has built up over the last year as foreclosure prevention programs and processing delays slowed down the normal foreclosure timeline." — James J. Saccacio, chief executive officer, RealtyTrac

"A lot of people who had adjustable mortgages, some of those [higher interest rates] are now starting to kick in ... We have clients who have been through three three-month trial modifications, and probably at the end of the day, they will end up losing their homes." — Phyllis Salowe-Kaye, head of N.J. Citizen Action, which offers housing counseling

housing units

U.S. 1/138

N.J. 1/226

California 1/62

Nevada 1/33

Florida 1/57

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