NJ Foreclosures Spike in April [AUDIO]
New Jersey’s foreclosure rate nearly doubled from March to April. The nationwide numbers moved in the opposite direction, representing the lowest level since February 2007.
New Jersey ranked fifteenth among the 50 states in terms of their April foreclosure rates, according to RealtyTrac, triggered by big jumps in foreclosure starts and scheduled auctions.
“The foreclosure rate in New Jersey has typically been below the national average, but in April, it jumped to above the national average,” explained RealtyTrac Vice President Daren Blomquist.
Blomquist said a primary reason is the length of New Jersey’s foreclosure process, which currently averages above 900 days. New Jersey is considered a judicial state, meaning the courts play a heavy role in foreclosure proceedings.
“If you’re looking for a place to not make your mortgage payments, New Jersey might be more favorable,” Blomquist joked.
The miserable numbers come after a pleasant March for the Garden State, which experienced a drop in foreclosure filings for the first time in several months.
The presence and sale of foreclosed homes can have a damaging impact on their surrounding neighborhoods, according to Blomquist, potentially dragging down home values.
Nationwide, foreclosure filings dropped five percent from March to a 74-month low, fueled by big drops year-over-year in states like California, Georgia and Michigan. One in every 905 U.S. housing units had a foreclosure filing during the month of April.