Frederick County, Maryland Foreclosure Statistics and Trends

According to data from RealtyTrac, Maryland has the highest rate of foreclosure for any state in the country. That’s alarming news for residents of the state, and it’s likely surprising to those who live elsewhere.

That said it’s probably not too surprising for those who live there, as they see it up close in their communities. While overall the rate of foreclosure in Maryland is one in every 535 homes, a .19% rate that is more than double the national .08% rate, that figure varies widely across the state. Here, we’ll take a closer look at one county in particular, Frederick County.

In Frederick County, the current foreclosure rate is one in every 635 homes. This represents a slightly improved foreclosure rate compared to the state as a whole. However, within the county, there are some specific towns which have shocking rates of foreclosure.

Keep in mind that areas with low populations and not many residents will reflect skewed data as a result, but it’s still alarming nevertheless. Take a look at the three towns in Frederick County with the highest rates of foreclosure: Braddock Heights has one in every 22 homes in foreclosure, Libertytown has one in every 75 homes, and Burkittsville has one of every 76 homes in foreclosure. Completing the top five worst towns in Frederick County for foreclosure are Thurmont, with one in every 409, and Brunswick, with one in every 419 homes in foreclosure.

As for the city of Frederick itself, it has a rate of one in every 562 homes in foreclosure. This is pretty close to the statewide figure, and is slightly worse than the county as a whole.

The city though also varies widely, here by zip code. In the 21704 zip code, there is one foreclosure in every 390 homes, whereas in the 21703 zip code, there’s one in every 537 homes, followed by the 21702 zip code, with one in every 554, and finally, 21701, with one in every 687 homes in foreclosure.

It’s intriguing to look at the data and see how different statistics can be from county to county, city to city, and even zip code to zip code within the same city.

For residents of Frederick County who may be facing foreclosure, it’s important to carefully evaluate your options, and to take action to keep your home if that’s the outcome you’re seeking. For instance, many individuals are surprised to find out that filing bankruptcy is one of the only tools available to stop a foreclosure. Before taking any action though, be sure to consult with an experienced local attorney who will be able to provide you with the guidance and assistance you need to make the right decision.

Current Trends in Texas Foreclosures and Real Estate

There were 57,000 foreclosures that were completed in Texas between February 2012 and February 2013, which ranks Texas fourth nationally in completed foreclosures for the period. Out of 5,411 Texas foreclosure filings in the month of February 2013, 3,252 filings were foreclosure starts. This suggests that despite a 43.36% decrease in foreclosure notices filed in February 2013 over February 2012, the market for distressed property in Texas will continue to remain active.

Sensing localized recoveries in the Texas housing market, mortgage lenders are moving in and expanding operations in the state, particularly in North Texas. This could prove to be a boon to first time homebuyers as well as foreclosure investors looking to realize value on the purchase of distressed property, especially as interest rates remain low and inventory stays strong.

Positive Economic Indicators Support Strengthening North Texas Real Estate Market

North Texas by many measures remains the strongest local market. In North Texas, the average sale price in February 2013 was 94.0% of the original list price, a 1.9% increase as a percentage of list price over February 2012. Overall, pre-owned home sales were up 14% year over year, with prices 8% higher in February 2013 than in February 2012. The higher average sale prices are partly due to a more restricted supply, with the housing inventory falling to 3.6 months in February 2013 as compared to an inventory of 5.6 months in February 2012.

Austin is another area where the real estate market is gaining strength. Sales were up 26% year over year in February, while the median price for listed homes was up 7% during the same period, to $208,500. The competitive market resulted in a drastic reduction in inventory, which stood at just 2.6 months at the end of February. Townhouses and condominium units shared in the gains, with 31% more units sold in February 2013 than February 2012. Strong gains in employment rates as greater numbers of people relocate to Austin are likely supporting the increases in real estate activity, as Austin boasted just 5.4% unemployment in February 2013. Still, there are contracts waiting for distressed real estate buyers who know where to look.

Advantageous Markets to Pursue Texas Foreclosures and Distressed Real Estate Transactions

An assessment of the outlook for distressed real estate performed by Cole Schotz predicts Dallas will be within the top markets for distressed real estate throughout 2013. Median list prices in Dallas are at $205,000, a 5.39% increase year over year. However, in light of a 20.34% drop year over year in active listings, this increase is quite modest. The delinquency rate for Dallas mortgages also remains high, reported at 4.28% in January 2013, suggesting that more distressed properties are entering foreclosures in Texas pipeline in this market.

El Paso may be one of the most promising places to look for distressed property in Texas, with 8.79% of all sales in 2012 taking place on foreclosed homes. The average discount realized on these sold properties was 17.80% despite a 93.42% increase in foreclosure activity in the area. Foreclosure discounts in McAllen, Texas were also high in 2012, at 21.49%; however, the foreclosure activity in McAllen decreased substantially in 2012 from 2011, falling 65.90%.

The overall economic outlook in Texas is strongly positive. In February 2013, the state saw its largest monthly job gains ever recorded, with 80,600 new jobs added, adjusted for seasonal variations. The regenerating job market and the strengthening real estate market, on the whole, point to opportunities for investment gains on distressed real estate for those who buy during this recovery.