According to a recent 2009 foreclosure market report by RealtyTrac the Provo-Orem metropolitan area, ranks among the top 60 statistical areas with the highest household rate of foreclosure filings nationwide. Foreclosure rates in the area have doubled from a year ago in the Utah County area. And the problem isn’t going away anytime soon. Foreclosures are expected to persist as the recession continues to un-employ more Utah residents.
According to the report, of the metro areas with populations of at least 200,000 people (203 markets were ranked), Provo-Orem ranked 31st nationally with a rate of one filing for every 45 households. Salt Lake City ranked 58th at one in 74 households; Ogden-Clearfield ranked 59th at one in 74 as well.
The number of foreclosure-related filings in Utah County soared 128 percent to 3,168 in the first half of the year, compared with 1,386 a year ago. The report includes default notices, notice of trustee sales and bank repossessions.
“While some of the markets that had the highest saturation of foreclosures over the past few years have seen declining rates, new markets like Provo, Utah, and Boise, Idaho, have seen large increases,” James J. Saccacio, chief executive officer of Irvine, Calif.-based RealtyTrac said in the release. “As unemployment rates increase in different parts of the country, it’s very likely that we’ll see similar patterns develop elsewhere.”
Taylor Oldroyd, President of Utah County Realtors stated, “I’m not surprised that foreclosures are creeping up, but our numbers aren’t that high that we should be alarmed. There are still federal incentives out there and people are moving quickly to grab that federal tax credit of $8,000 before it ends this year.”
In fact foreclosure rates in Utah are only half of what the top four states reported. Las Vegas posted the nation’s highest in foreclosure rates, with one in 13 households receiving at least one foreclosure filing in the first half of 2009. That’s more that six times the national average.