Foreclosure activity plummets in November

Foreclosures were down sharply in November, both compared to the previous month and November 2009, according to RealtyTrac.

Filings, which included default notices, scheduled auctions and bank repossessions, were down 21% compared to October and down 14% from a year ago. Much of the decline can be attributed to the robo-signing controversy.

“Foreclosure activity decreased dramatically in November, with fewer than 300,000 properties receiving a foreclosure notice for the first time since February 2009,” said James J. Saccacio, CEO of RealtyTrac. “While part of the decrease can be attributed to a seasonal drop of 7 to 10 percent that typically occurs in November, fallout from the foreclosure robo-signing controversy forced lenders and servicers to hit the pause button on many foreclosures while they scrambled to revamp their internal procedures and revise or resubmit questionable paperwork.”