Phoenix Foreclosures - November 10, 2011

When Maricopa County's November 2011 foreclosure numbers are reported at the end of this month there is a strong probability that the number of homes foreclosed will be greater than in November 2010. This is despite the fact that foreclosure numbers are unmistakably trending lower. The reason: what Bank of America did not do last year and what they did this year.

Bank of America in November 2010 issued a self-imposed moratorium, ceasing all foreclosure sales in Maricopa County. In August of this year, Bank of America's new notices of foreclosure spiked by nearly 1000 homes over the previous month, only to die down again in September. Remember, the notice of trustee sale is a 90 day notice, so the notices filed in August will be eligible for foreclosure in November.

When this November's foreclosure numbers are reported the media headlines may make a fuss that "year over year foreclosures are up". This is an unimportant temporary anomaly in a clear downward trend. Don't be fooled.