Foreclosures down in June
In 19 Oregon counties where Gorilla operates, there were a total of 1,138 notices of default recorded during June -- down from 1,350 in May. A notice of default is the official beginning of the foreclosure process.
"Foreclosure numbers declined significantly in June following an industry spike in May," said John Helmick, Gorilla Capital CEO. "This is a considerably good sign for the Oregon housing market and quick recovery in foreclosures from the previous month. We hope to see continued declines in July."
Jefferson County recorded 10 notices of default in June compared to 16 notices of default in May, a 38 percent month-to-month decrease in notices of default. The county recorded a 44 percent year-over-year decrease in notices of default compared to June 2011.
The passage of Oregon SB-1552 in April, which requires lenders to meet in mediation sessions with homeowners who are facing foreclosure, played a key role in the short-term spike in foreclosures in May.
Helmick and staff at Gorilla Capital predict the recent change in foreclosure law will likely prevent the market from stabilizing in the short term, but added that the industry has seen a significant improvement and recent declines in 2012 numbers compared with those of 2011.
Most of the provisions of the bill took effect on July 12.
Other notable foreclosure statistics include the following:
. Of the 19 counties where Gorilla Capital operates, 13 saw double-digit decreases in notices of default, including 11 counties that recorded declines of at least 24 percent from the previous month.
. The biggest month-to-month decreases occurred in Tillamook, Coos and Yamhill counties, which saw declines of 75, 57 and 50 percent, respectively.
, The biggest year-over-year decreases occurred in Tillamook, Jefferson and Deschutes counties, which saw declines of 67, 44 and 37 percent, respectively.
. Benton, Deschutes, Douglas and Jackson counties were the only Gorilla counties to see month-to-month increases in notices of default. Benton, Douglas, Lincoln and Marion counties recorded increases when comparing June 2011 to June 2012.
Gorilla Capital operates in 19 Oregon counties, including: Benton, Clackamas, Coos, Crook, Curry, Deschutes, Douglas, Jackson, Jefferson, Josephine, Klamath, Lane, Lincoln, Linn, Marion, Polk, Tillamook, Washington and Yamhill.
Gorilla Capital expanded into the Tillamook and Yamhill markets in April 2011, followed by expansion into Clackamas and Washington counties in September 2011 and January 2012, respectively.
About Gorilla Capital
Gorilla Capital is one of the nation's leading purchasers of homes sold at foreclosure auctions. For more information, visit www.GorillaCapital.com, or call 541-344-7867.