A total of 332292 properties received an auction notice, meaning that every 385th household received a filing. But this is down 3 percent from September.
Though foreclosures have dipped for the third straight month, they are still up 19 percent compared to the same period in the last fiscal year.
Despite a surge in demand in the U.S. housing market after a three year slump, foreclosures are not abating. The main cause is the soaring unemployment, which made it tougher for household owners to pay their bills.
Unemployment has jumped to 10.2 percent in October, hitting double digits for the first time ever in 26 years. According to the latest Labor Department reports, employers cut 188,000 jobs last month.
State wise analysis
Nevada witnessed the highest foreclosure rate for the 34th straight month. One in every 80 households received an auction notice.
Next highest foreclosures are reported by California, where one in every 156 households received a filing. Florida came third with one in every 168 house defaulting on mortgage payment.
Arizona, Idaho, Illinois, Michigan, Georgia, Maryland and Utah were others in the top ten states receiving auction notice, according to RealtyTrac.
Among cities, Las Vegas reported highest foreclosure, where one in 68 homes received a filing. Next highest figures were reported in Vallejo followed by Modesto. Seven among the top ten metros to receive auction notice were in California.
More foreclosures likely
This is yet not the culmination as RealtyTrac is projecting more foreclosures by the end of this year. Overall, 3.4 million households will get a foreclosure notice this year, up 48 percent from 2.3 million last year.
Though there has been an increase in the number of eligible borrowers under the Making Home Affordable program launched by the Obama administration, the progress is very slow. Under this program lenders are paid to reduce borrowers’ installment to prevent mortgage defaults.
Rick Sharga, senior vice president at Irvine, California-based RealtyTrac, was quoted by Reuters as saying, "Unless we have an almost miraculous recovery in housing and employment, there's really no way to get through this pipeline any earlier than that.”
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