Foreclosures Continue To Rise

Irvine, CA, Aug. 12, 2010--The number of homes lost to foreclosure grew in July, according to tracking firm RealtyTrac.

Lenders took back 92,858 homes last month, up 9% from June and an increase of 6% from July 2009.

July makes the eighth month in a row that the rate of homes lost to foreclosure has increased on an annual basis.

However, homeowners who are falling behind on their payments are being allowed to stay in their homes longer because lenders are reluctant to add to the glut of foreclosed homes on the market.

The number of properties receiving an initial default notice rose 1% last month from June, but fell 28% compared to July last year, RealtyTrac said.

Initial defaults have fallen on an annual basis the past six months.

RealtyTrac estimates more than 1 million American households are likely to lose their homes to foreclosure this year.

In all, 325,229 properties received a foreclosure-related warning in July, up 4% from June, but down 10% from the same month last year, RealtyTrac said.