|
The Number of Oregon Homes Headed to Foreclosure Continues to Climb in 2009
|
|
News Release
February 2009
Contact: John Helmick, Gorilla Capital, (541) 344-7867, john@GorillaCapital.com
Pat Walsh, The Ulum Group, (541) 434-7021, pwalsh@ulum.com
The Number of Oregon Homes Headed to Foreclosure Continues to Climb in 2009
Eugene, Ore. — Homes headed to foreclosure continued to rise throughout the state of Oregon during the fourth quarter of 2008 and the first month 2009 with a total of 2,420 notices of default filed in 13 western Oregon counties between Oct. 1, 2008 and Dec. 31, 2008, a 117 percent increase from the previous quarter. A notice of default is the official beginning of the foreclosure process. The figures come courtesy of Gorilla Capital, a reseller of Oregon homes sold at foreclosure.
“These numbers come as no surprise to those of us who have been studying the state’s housing market,” said Gorilla CEO John Helmick. “It’s likely that we will continue to see increasing numbers of home foreclosures in the state of Oregon in the months ahead.”
As the state’s largest purchaser of homes sold at foreclosure auction, Gorilla keeps detailed records on foreclosure statistics throughout the state, tracking thousands of properties each year. Numbers released by the company regarding the counties in which it operates reveal some interesting trends in the Oregon housing market, including the following:
- Of the counties for which 2007 and 2008 data was available, Deschutes County had the highest spike in homes headed to foreclosure with a 338 percent increase in notices of default.
- Of the same counties, Coos County had the “lowest” increase with a 138 percent increase in notices of default.
- In Benton County, notices of default increased 94 percent in 2008 as compared to 2007. Not all homes that enter the foreclosure process are sold at foreclosure auction; a majority of homeowners are able to avoid foreclosure either by selling their home or working with their lender to bring their loan current. In 2008, a total of 138 Notices of Default filed in Benton County resulted in 30 Benton County homes sold at foreclosure auctions.
- Western Oregon saw a 218 percent increase in homes headed to foreclosure between 2007 and 2008.
- The first month of 2009 appears to be following the 2008 trend, as the state saw a 181% percent increase in the number of notices of default between January of 2008 and January 2009.
Another interesting trend that can be seen in the data released by Gorilla Capital is the rising percentage of homes being sold to banks. In 2007, an estimated 78 percent of Oregon homes in foreclosure were sold to banks. In 2008 that number increased to 91 percent. In January of 2009, an estimated 94 percent were sold to banks.
“The figures we are seeing suggest the housing recession is far from over in Oregon,” Helmick said. “We can expect to see hundreds more homes being sold at auction in the months ahead, offering ample opportunities for buyers.”
About Gorilla Capital
Gorilla Capital is Oregon’s largest purchaser of homes sold at foreclosure auctions. Operating in 13 Oregon counties — Benton, Coos, Crook, Curry, Deschutes, Douglas, Jackson, Jefferson, Josephine, Klamath, Lane, Lincoln, and Linn — the company is based in Eugene, Ore. Gorilla Capital provides value pricing homeowners by offering carefully selected homes that have been cleaned and repaired and are priced to sell. All homes come with a third party, 1-year warranty.
Gorilla Capital tracks and reviews over 10,000 foreclosure properties annually, in order to find and acquire quality properties to offer to homebuyers. Gorilla Capital provides options for buyers seeking affordable foreclosure sale homes.
###