Large lenders seen correcting foreclosure processing errors, ending "rain delay."
RealtyTrac said initial default notices up 14% in second quarter vs. first.
Banks appear to have begun picking up the pace of foreclosures on residential real estate in August, reducing the time before the housing industry works through the overhang of troubled properties, according to RealtyTrac.
RealtyTrac seeing movement toward resolving overhang of troubled properties.
Distressed and foreclosed properties are still weighing on the market, but executive says market is working through the stockpile.
RealtyTrac, the leading online marketplace for foreclosure properties, released its most recent foreclosure sales report that shows that properties in some stage of the foreclosure process made up almost a third of property sales in the first quarter of this year.
RealtyTrac says average sale price of foreclosed properties nationally is 27% below price of non-foreclosed properties.
Problems with processing foreclosures slowed the activity to its most sluggish pace in April, further delaying the point when the market will have addressed the large stockpile of real estate for sale.
RealtyTrac, a firm specializing in foreclosed and economically distressed homes, reported that the numbers of properties in some part of the foreclosure process nationwide dropped by 21% in November.
The numbers of properties in some part of the foreclosure process dropped by 4% nationwide in October but still remain at the level they held in October 2009, according to RealtyTrac.