Stockton, Sacramento Among Top 5 U.S. Cities For Foreclosures

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(Sacramento, CA)
Tuesday, April 29, 2008

It’s another grim report from RealtyTrac…an online foreclosure listing service. The numbers reflect the first quarter of 2008…from January to March.  

"Sacramento households received nearly 14,000 foreclosure filings, making it one of the highest cities in the country in terms of foreclosure activity." 

That’s RealtyTrac’s Rick Sharga. Foreclosure filings mean the homes were either repossessed by a bank or received default or auction sale notices.

Sharga says Sacramento had the fifth highest rate of that in the country. Stockton was number one. In fact, one in every 30 Stockton households received a foreclosure filing between January and March. That’s six-and-a-half times the national average.  

"You had a lot of people buying homes in Stockton that were probably over-valued. They bought them using very risky loan products, many adjustable rate loans." 

…and when the loans adjusted the homeowners weren’t able to pay their mortgages. 

"I don’t think we’ve hit the peak yet." 

Sharga expects to see the highest level of foreclosure activity in the late third and fourth quarter of this year.