Richmond area lowest for foreclosures

RICHMOND (Times-Dispatch) — The Richmond region had the lowest foreclosure rate among the nation's top 100 metropolitan areas, according to a midyear report released yesterday by RealtyTrac, an online marketplace for foreclosure properties.

The area recorded 213 foreclosure filings in the first six months of this year -- or one for every 2,319 households. The number is down 1 percent from the same period a year ago.

Richmond shared company with McAllen, Texas, Greenville, S.C., and Honolulu for the lowest rates.

The Norfolk-Virginia Beach-Newport News area had the fifth-lowest rate among 100 metro areas, reporting 747 filings, or one for every 787 households.

The Stockton, Calif., Detroit and Las Vegas markets recorded the highest. The worst, Stockton, had 8,169 foreclosures, or one for every 27 households.

The U.S. average for the first six months was one for every 134 households, up 56 percent from a year ago.

"This report clearly demonstrates that not all local housing markets are flooded with foreclosures," said James J. Saccacio, who is chief executive officer of RealtyTrac.

"While foreclosure activity has skyrocketed over the past year in many cities, particularly in California, Ohio and the Northeast, foreclosure activity seems to be subsiding in parts of Texas, South Carolina and other states."

Overall, 82 of the 100 metro areas showed increases in the number of foreclosures.

Daren Blomquist, a spokesman for RealtyTrac, said real estate markets have been steady in areas with the lowest rates, such as Richmond.

"Price appreciation in those areas hasn't skyrocketed as it has in other areas. That has allowed those markets to continue to grow."

Most of the areas with the highest foreclosure rates saw rapid price appreciation, Blomquist said. "All hit the wall."

The exception was Detroit, whose high foreclosure rate was due to a loss of jobs, he said.

Steve Baugher, executive director of the Virginia Association of Mortgage Brokers, said he was not surprised to hear that the Richmond had a low foreclosure.

"Richmond is one of the best real estate markets in the country," he said. "The employment base is strong. Real estate values have held up pretty well."

The area never sees the huge increases in values or the huge dips, Baugher said. "Richmond has always been that way. We're lucky in that regard. Really, the whole state is in pretty good shape."

The Washington, D.C.-Arlington Alexandria area showed 8,483 foreclosures, or one for every 195 households.