California dominated the bad news in the May 2007 U.S. Foreclosure Market Report by RealtyTrac, which tracks the foreclosure market. The state led the nation in foreclosure filings, with 39,659 in May. Foreclosure activity increased 30 percent in the state in May compared to April, and was up 350 percent over May 2006. With one foreclosure filing for every 308 households, the state came in third for foreclosure rates behind Nevada (one filing for every 166 households) and Colorado (one filing for every 290 households).

The top three metropolitan areas for foreclosure rates are all in California, led by Stockton with a 49 percent increase in foreclosure activity and one foreclosure filing for every 88 households. Merced came in second with one filing for every 100 households, followed by Modesto with one for every 118 households. California also claimed the 5th spot with Riverside-San Bernardino, the 6th spot with Vallejo-Fairfield and 7th place with Sacramento. Las Vegas, Denver, Detroit and Miami were also in the top 10 for foreclosure rates.

Gillian Parrillo
The Sacramento Executive