Idaho Foreclosure Filings Drop 54.5 Percent

Foreclosure filings in Idaho dropped 54.5 percent in the first half of 2012.

RealtyTrac, which tracks foreclosures, reported that foreclosure filings nationally fell 10.6 percent in the first six months of the year.

Jessie Hamilton, general counsel for Pioneer Title, said lenders are modifying more Idaho loans instead of foreclosing. He also said many lenders delayed foreclosures after an Idaho law took effect Sept. 1 requiring lenders to better inform borrowers about their options. Another factor, he noted, is that more short sales are going through. A short sale is where the lender agrees to take less than the borrower owes.

Mike Mooney, president of Bank of the Cascades Idaho Region, said a short sale gets the loan off a lender’s books faster than a foreclosure and is less expensive. The foreclosure sale process “takes longer, and you have uncertainty about price, and also commission and other expenses,” Mooney told the Idaho Business Review

SOURCE: Associated Press