A new wave has begun of foreclosed homes in California, and many have been left without a roof over their heads.
A new study from the California Association of Realtors has found that nearly a quarter of the foreclosed properties in the state are owned by people who were not able to get a mortgage or make payments.
The report, which is due to be released Tuesday, shows that home prices are up by 5.5% over the past year in areas where foreclosing rates have been higher.
“There is a lot of money being spent to flip the mortgage on these properties,” said Dan Gross, the association’s president.
“There is no doubt in my mind that it’s being done on a massive scale.”
The California Association is the latest to analyze the impact of foreclose, as the state’s foreclosure rate has increased by about 10% in the past two years.
In its latest study, released Tuesday morning, the organization looked at the foreclosers who were the only ones who actually got a mortgage.
About 13% of the properties had mortgages, while about 12% had non-mortgage lenders and 4% were on credit.
It found that the average age of the homeowners was about 59, and they made $33,000 a year.
About 70% of those who lost their homes to foreclosure were men, compared to 45% of homes that were not foreclosed.
Gross said that a lot has changed since he was a kid growing up in San Jose.
The city is now home to the biggest tech company in the world, Google, which has laid off thousands of people.
Now, he said, people are afraid to move.
“When I was growing up, it was scary.
Now I feel like, I could really take it,” Gross said.
“It’s not the way it used to be.
People feel safer.”
California has seen a huge influx of foreclosure in the last few years, as many of the country’s fastest-growing cities have seen the number of forensically assisted homes increase.
In San Francisco, the city is home to some of the fastest-rising homes in the country.
Last year, the number was about 3,400.
But in the city’s suburbs, about 6,500 homes were foreclosed in 2016, according to the association.
“The trend is that there is more pressure on the city to make sure these properties are maintained,” said Gross.
Many of those properties are in neighborhoods with high unemployment and are facing a shortage of affordable housing, said Gross, who added that some of those same areas are also home to large tech companies.
“There’s been a lot more forecloses in areas of the city that have a lot lower unemployment rates,” said Gorman.
“And they’ve been really expensive for property owners.”
The association’s study, called Foreclosure Nation: A Snapshot of California’s Foreclosures, is based on data from the state Department of Finance, California Mortgage & Finance Association, and the California Mortgage Finance Agency.
According to the study, nearly 3,000 foreclosed California homes were built in 2017.
The most common type of property foreclosed was a single-family home with a two-bedroom and two-bathroom, according the association, which found that 8% of foresold properties had two bedrooms and one bathroom.
About half of those homes were in the cities of San Francisco and Los Angeles.
But it is the cities where the biggest increases in the number and size of foresales have been recorded, according a spokesperson for the Department of Housing and Urban Development.
“In San Jose alone, there were 4,500 foreclosed home sales in 2017, which represents more than half of the total sales in the entire city,” said Jennifer Klimas, the spokesperson.
“In the city of Berkeley, there was 2,500 new foreclosed homes in 2017 alone, and that number is more than six times higher than the citywide average.”
“The rate of foresale in San Francisco has been growing at about 6% a year,” Klimos said.
But it is not all bad news.
According to the California Department of Justice, there have been 6,700 fewer foreclosed property sales in San Diego in 2017 than there were in 2016.
The median home value in San Mateo County has been falling for more than five years, which helps explain the sharp increase in foreclossings there.
San Jose has seen the biggest drop in home sales since 2007, when the city had about 3.8 million properties, the most recent year for which data is available.
That was due to the recession and the high foreclosure rate, according Gorman, who also said that the city has been dealing with an influx of new residents.
“People are moving into San Jose to live, but the demand for housing has been very high