The Albuquerque metro area had one foreclosure for every 880 households in the 3rd quarter, a 31% drop from last year. Because of the low rate Albuquerque ranked 89th out of the country's 100 largest metros tracked by Realty Trac.
Cities in California,Ohio, and Florida accounted for two-thirds of the 25 metros with the highest foreclosure rates. Albuquerque's low rate of forclosures has been attributed to its comparatively steady residential real estate market. Although home sales have dropped this year, the median price of homes that sell continue to rise. As a result homeowners can avoid foreclosure by selling their houses and paying off their mortgages. In cities with high forclosure rates home values inflated during the housing boom. When the boom ended in 2006, home values plummeted.
New Mexico ranked 42nd among states for having a low rate of houses in some stage of foreclosure. Albuquerque had 62% of the forclosures between July and September. The surrounding states of Arizona,Texas and Colorado are all in the top 10 for having high forclosure rates. Nevada was #1 with 1 foreclosure for every 61 households, followed by California with 1 for every 88.
The national average was 1 foreclosure for every 196 households in the 3rd quarter, a 100% jump from a year eariler.