Va. households at risk of foreclosure up 47%

The number of U.S. households at risk of losing their homes to foreclosure rose 32 percent in April from the same month a year ago, according a report released today.

More than 342,000 households -- including 6,254 in Virginia -- received at least one foreclosure-related notice in April, according to RealtyTrac Inc.

The online foreclosure researcher reported that one in every 374 U.S. households received a foreclosure filing -- the highest monthly rate since RealtyTrac began tracking foreclosures in January 2005.

Nevada, Florida and California showed the highest rates.

Virginia, with the 14th highest foreclosure rate in the country, fared better than the nation -- with one in every 524 households in the state receiving a notice in April.

That said, foreclosure activity in Virginia jumped 47 percent from a year ago, RealtyTrac said in a revised statement comparing the same filings to a year ago. The researcher changed its collection methods in Virginia as of January.

Filings include notices of default, trustee sales and foreclosure sales.

"The trend continues to be upward, and Virginia is creeping up as well," said Daren Blomquist, spokesman for RealtyTrac, an online researcher.

Nationally, bank repossessions actually fell on a monthly and annual basis to their lowest level since March of last year. But that is not good news, since it means that much of the activity in April was in the early parts of the foreclosure process and repossessions will increase in coming months.

It suggests that many lenders and servicers began foreclosure proceedings on delinquent loans that had been delayed by legislative and industry moratoriums, RealtyTrac reported.

"It's likely that we will see a corresponding spike in [repossessions] as these loans move through the foreclosure process over the next few months," said James J. Saccacio, chief executive officer.

The Obama administration has announced a plan to provide $75 billion in incentive payments for the mortgage industry to modify loans. But the extent to which it will alleviate the problem is unclear.

Contact Carol Hazard at (804 775-8023 or .