Breaking News: RealtyTrac Reports Big Jump in California Foreclosures

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We don’t often report on BREAKING NEWS, but here goes: CNBC just reported that RealtyTrac’s report on May foreclosures shows a big jump in foreclosure activity in May, particularly in California.

RealtyTrac reports that, nationally, May foreclosure activity rose 19% from April levels and 90% from May 2006 levels. In California, the numbers are even worse -- From the RealtyTrac press release: ‘California foreclosure activity increased 30 percent from the previous month and more than 350 percent from May 2006, boosting the state’s foreclosure rate to third highest in the country. California documented one foreclosure filing for every 308 households, more than twice the national average.’

Relatedly: Reuters is reporting that Countrywide’s foreclosure rate doubled over the past year: ‘Countrywide also said pending foreclosures as a percentage of unpaid principal balances rose to 0.90 percent from 0.45 percent a year earlier, and 0.85 percent in April.’

A caveat: foreclosure statistics, including those calculated by RealtyTrac, are squishy, and their accuracy is the subject of ongoing debate. The L.A. Times’ David Streitfeld wrote recently: ‘RealtyTrac’s numbers tend to top all other figures because the company counts every step in the foreclosure process — the notice of default, the auction, the house reverting to the lender — separately. One house might be tallied several times as a foreclosure.’

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Photo Credit: L.A. Times