Dallas-Fort Worth Home Market on the Rebound


Real Estate Editor, Dallas Morning News

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Published: 22 July 2014 09:11 PM

Updated: 22 July 2014 10:32 PM


Dallas-Fort Worth home foreclosure filings for August are the highest in three months. But the number of North Texas homes facing forced sale by lenders is still down more than 50 percent from a year ago, according to numbers from Foreclosure Listing Service. Lenders have scheduled 1,480 D-FW homes for next month’s foreclosure auctions. That’s down 52 percent from August 2013 totals.

The biggest declines are in Denton County, down 58 percent from last year, and Tarrant County, down 54 percent. Collin and Dallas County foreclosure postings are 50 percent less than in August 2013, according to the Addison-based foreclosure tracking firm. The average house posted for next month’s foreclosure auction had an original loan amount of almost $138,000 that was made in 2005.

Analysts credit the sharp drop in foreclosure filings this year to the rise in home values in many neighborhoods, which has enabled borrowers with troubled loans to sell or refinance properties. Also, more lenders are opting to sell houses with troubled loans in a short sale rather than going through a foreclosure process.

“Residential borrowers that were underwater on their mortgages a couple of years ago have been bailed out by the rising tide,” said Ted Wilson with Dallas housing consulting firm Residential Strategies. “And there is plenty of demand to move a distressed sale on a timely basis.”

So far this year, foreclosure filings in the four-county area are almost 40 percent less than in the first eight months of 2013. And it’s substantially less than in 2010, when almost 64,000 North Texas homes were posted for foreclosure. Not all homes posted for foreclosure each month sell. Many times the lender and borrower work out a new debt agreement or the foreclosure is postponed.