2005-2009 San Diego Foreclosure Statistics
April 16, 2010 · Filed under Real Estate
Despite a slight decrease in foreclosures in the month of February 2010 (2% decline claimed by RealtyTrac), March national data has seen an increase of about 8% and the first quarter of 2010 an increase of around 7% in foreclosures. The results don’t help to increase confidence in an already fragile American economy.
What about data closer to home, what are the foreclosure trends in San Diego? In the current financial age following last year’s recession foreclosures have become a mainstay in the San Diego economy. The number of foreclosure claims is still significantly higher than 2005 levels–the last time San Diego saw foreclosure numbers under 30 per month.
Looking back on the data we can observe some interesting trends that shed some light on when the problems of the recent credit crisis began to emerge, and where we’re going in 2010.
Monthly total of foreclosures in the San Diego MSA area from 2005-2009.
| 2005 | 7 | 8 | 5 | 13 | 20 | 9 | 22 | 18 | 15 | 19 | 31 | 43 |
| 2006 | 46 | 41 | 66 | 85 | 98 | 110 | 146 | 135 | 172 | 227 | 207 | 289 |
| 2007 | 366 | 385 | 449 | 520 | 768 | 656 | 639 | 830 | 687 | 857 | 475 | 998 |
| 2008 | 1,303 | 1,318 | 1,042 | 1,411 | 1,578 | 1,857 | 2,018 | 1,982 | 1,849 | 1,190 | 1,077 | 1,360 |
| 2009 | 1,100 | 1,230 | 734 | 901 | 966 | 1,684 | 1,306 | 1,190 | 1,097 | 1,202 | 1,069 | 1,513 |
Observing the graph above we can ascertain that the economic crisis across the USA in late 2008 in fact started ti emerge much earlier. In San Diego, foreclosures began their steady rise starting in March 2006, almost a full 2.5 years before the credit crunch due to toxic sub-prime mortgage lending started to come to full fruition in 2007 which lead to the eventual collapse in October, 2008.
The peak for San Diego MSA foreclosures actually occurred before the public credit crisis in October, 08. In July 2008 over 2000 foreclosures were made, almost three months before the credit collapse.
Although the increase since 2006 haven’t been uniform (there have been periods of slight decline month to month) the increases are absolutely staggering. Dec 2009 vs. Dec 2005 saw an increase in foreclosures by over 3400%!
Is there end in sight? As 2010 numbers roll out the news is good and bad. Expect more up and down data similar to 2009 where good news was met the following month with bad.
What does this mean moving forward?
We cannot conclude using this data that stability is assured in the upcoming months of 2010. Many are still facing the prospect of foreclosure and the potential of declaring bankruptcy. In fact, preliminary numbers from 2010 indicate that the problem has actually gotten worse and San Diego has seen new foreclosure record highs.
Conversely, there appears to be an increase in opportunities for those looking to purchase foreclosed homes (where currently there seems to be no shortage of availability). Although finding the right deal and having stable market conditions to resell remains volatile.
If you are experiencing the reality of foreclosure we suggest speaking to financial professional to explore options to prevent the loss of key assets like your home.
Protect yourself before losing your home by exploring your options such as Chapter 13 bankruptcy with Cecilia Chen. Contact her for a free consultation.
* All data, not including graphs, are courtesy of RAND California.
