Dallas Foreclosures Show a Drop in Activity
December 6th, 2007 by 
Joseph Smith
Encouraging trends seem to be emerging from Dallas, Texas, with a drop in Dallas foreclosures activity over the last 3-6 months. While Dallas metropolitan area reported 3,612 foreclosures in May 2007, this figure is 3% lower from the previous month. As per RealtyTrac® U.S. Foreclosure Market Report, this decrease in Dallas foreclosure activity has pushed it down from its top spot among five of America’s largest metropolitan areas.
The Dallas foreclosure rate is one foreclosure filing per 369 households, which is 1.8 times the nation’s average foreclosure rate. Dallas foreclosures are higher than in Chicago, New York, and Philadelphia, though it is lower than Los Angeles’ foreclosure rate.
With 731 foreclosures filed in May, Collin County has gained the dubious reputation of being the metropolitan area’s second highest in foreclosure rate. This is an increase of 31% from previous month, making the ratio 1 per every 267 households, which is 4th highest amongst metropolitan areas and 2.5 times the country’s average. Additionally, foreclosure filings in Denton County reached 341 for the month, claiming the 3rd stop on the highest country total for metropolitan area.
Foreclosures in Dallas metropolitan area, which is made up of 8 counties including Kaufman County have seen top rankings across the board. Kaufman County scored over Rockwall County in the race to claim the top spot for highest number of foreclosures in Dallas metro area. There were 143 foreclosure filings, a whopping 91% increase from previous month and there was one foreclosure reported for every 183 households and 3.6 times the country’s average.
Interestingly though, Texas foreclosures saw a decline of 16%. The state reported a total of 9,653 foreclosures which is almost 33% lower than that reported in the same month, last year. This decline has helped Texas reach the fourth position on the highest foreclosures list and behind California, Florida, and Ohio. There was one foreclosure per 834 households that is still below the nation’s average.
The Dallas foreclosure rate is still rather high despite the current downward trend in the foreclosure activity. Moreover, Dallas has remained insulated to the dramatic increase in home rates that other real estate markets have witnessed in the last few years, making property more affordable. Furthermore, Dallas offers healthy employment opportunities and enjoys a low unemployment rate that is also below the nation’s average. Based on these factors, experts conclude that Dallas foreclosures will remain steady, if not decreasing further for the remainder of 2007.
