Sales of Foreclosed Homes Creep Up Countywide

More Riverside County homes ended up on the auction block last month, but the figure was far below the level of activity recorded a year ago, a real estate tracking firm reported today.

Bay Area-based ForeclosureRadar.com's monthly "Foreclosure Report" showed a total 844 repossessed properties were sold countywide in May, compared to 818 in April -- a 3 percent increase.

The county's foreclosure sales were down 48 percent from a year ago, when 1,649 homes were auctioned off.

Statewide, sales of distressed properties crept up 6 percent in May, but compared to a year ago, were down 47 percent.

ForeclosureRadar.com founder Sean O'Toole said efforts to protect defaulting homeowners in California through legislation will only prolong the problem.

"The only thing stopping foreclosures will accomplish is insuring that we are stuck with the negative equity problem for far longer then necessary," O'Toole said.

"I completely get why folks are mad at both the banks and the situation," he said. "However, stopping foreclosures will lead to a much longer economic recovery, increased blight, fewer jobs, lower property tax receipts and fewer opportunities for new homebuyers and investors."