Foreclosures spike as banks ramp up repossessions

Screen Shot 2014-11-13 at 9.54.56 AMBy Diana Olick | CNBC

More than five years after the foreclosure crisis began, the number of borrowers losing their homes is rising again.

Most of the troubled loans are not new; instead, the backlog of homes in the foreclosure process is finally starting to move more quickly. There was, however, a slight uptick in foreclosures on loans made in 2013 and 2014, a troubling turn.

Foreclosure filings, which include default notices, scheduled auctions and bank repossessions, were reported on 123,109 properties in October, according to RealtyTrac, a foreclosure sales and data company. That is a 15 percent increase from September, and the largest monthly increase since the peak of the crisis in March of 2010. The numbers are still down 8 percent from a year ago.

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Related: [IN-DEPTH] Treasury official advocates private mortgage market development

 

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