Notice of Default filings continue to gain momentum – rising 36 percent over April’s number of NODs. Could this be an indication that more banks are figuring out how to comply with the requirements of AB284?
Additionally, for the first time in several months Notice of Sale filings increased month over month. As regular readers know, the local market can certainly use the inventory.
Click on the report to enlarge. These statistics are provided to us by our friends at Ticor Title.
Commentary accompanying the report…
Notice of Default (NOD) filings increased by 21 from April and of course the numbers are still affected by the New Law (AB284) that was effective October 1, 2011. We are seeing the Banks file more NOD’s each month mostly because they are starting to work through the requirements of the new law. But again, most of the filings are still private beneficiary and local banks/credit unions. Notice of Sales had a slight uptick but this is could be properties that are working through the process of foreclosure mediation, failed short sale, etc. Trustee Deeds increased only by 3 and are holding steady. The new single family residential REO (Bank Owned) listings decreased considerably. Banks are choosing to short sale and working quickly to process and are closing on properties quicker than ever before. As mentioned before, inventory in Nevada is down considerably and the real estate community is very concerned about the lack of inventory available in future months for the potential buyer. We are hoping that the Banks will release more inventory to keep up with buyer demand. In our area, Real Estate Agents who have listings under $200,000 are getting multiple offers and can’t keep up with buyer demand. We have recently talked with our offices through-out the Western Region and they too have a lack of inventory. Is Nevada’s inventory problem caused by AB284? AB284 could be part of the cause, but other states don’t have the exact same law, so what’s the reason for their lack of inventory? Could the National Mortgage Settlement affect inventory?