Foreclosure Rates Down in the Bay Area
SAN FRANCISCO — The number of foreclosure notices is down in the Bay Area, but it’s not clear if there are fewer homeowners in trouble or if the drop is due to a new state law.The Mortgage Relief or Foreclosure Reform Bill passed by state lawmakers this year requires lenders to make a number of attempts to contact homeowners and then wait 30 days before filing a foreclosure notice. It also encourages them to look at restructuring the loans before initiating foreclosure procedures.
Notices of default averaged 350 a day during the first week of September in the nine Bay Area counties, according to Andrew LePage, an analyst with Data Quick. After September 8th when the law took effect, default notices dropped to less than 60 a day, he said.