No wonder the home builders all want to come here. No wonder everyone is moving here. A report out today from a major researcher housing indexer says we have one of the lowest home foreclosure rates among major U.S. cities.

At the end of 2011, 3.4 homes were in foreclosure across the nation, but in Dallas, only 1.4 percent were in foreclosure.

CoreLogic says the biggest bad boys now are Orlando with 12.2 percent and  Tampa at  12.1 percent of homes in foreclosure.

Dallas and Seattle tied as the lowest foreclosure rate cities among the 25 major markets CoreLogic detailed. We even beat out Denver, with 1.5 percent, and Houston, with 1.6 percent, though I keep hearing that the Houston housing market is better than our’s.

U.S. home foreclosures in 2011 totaled 830,000 units, which is down from 1.1 million in 2010. Can we say the worst may be behind us? Maybe.

“The inventory of foreclosed properties has begun to shrink, and the pace at which properties are entering foreclosure is slowing,” Mark Fleming, chief economist with CoreLogic.

This is one reason why I like Corelogic over case-Shiller: CoreLogic also said the Dallas area has one of the lowest home loan delinquency rates among the 25 major U.S. markets it tracks. So the lenders should all be opening their pockets here to end, right?

For the first time in more than THREE YEARS, foreclosures are diminishing in Dallas Fort Worth. George Roddy Sr. of Foreclosure Listing Service, Inc. reports some good news preceding the spring market: Dallas Fort Worth residential foreclosure postings have dropped to a 40-month low. Roddy says that for the upcoming auctions on May 3, only 3,719 postings have been filed on delinquent homes, which is the lowest number since January of 2008 when 3,672 postings were filed.

2008 — wow — remember those days? And remember last April when 6,168 foreclosure postings were reported?

Have we come a long ways baby at last? No, says Roddy. Don’t get too excited about a one month drop. In other words, it ain’t Miller Time yet. During the previous 31 consecutive months, the volume of D/FW home foreclosure postings has exceeded 4,000 each month.¬† Roddy thinks the decline may be artificial:

“I believe this is an artificial decline in foreclosure notices due to the tremendous scrutiny applied by regulators during recent months in response to publicity about past problems with the foreclosure process, including robo-signing.”

The 40 year veteran foreclosure researcher says¬† this month‚Äôs drop in postings is certainly welcome news. But he doesn’t believe we are out of the storm yet.

“The fallout from this foreclosure crisis is going to take a long time to work through, says Roddy.”

In fact, some analysts are predicting lenders will actually increase the number of foreclosures in the months ahead as they get their processes down. Foreclosure attorneys are in Washington right now lobbying. This is positive: the biggest drop in current foreclosure filings took place in Collin County, which had really taken a beating according to my sources up there. Postings dropped 31 percent from a year ago. Postings are down 23 percent in Dallas County and down 24 percent in Tarrant County.

e also cautions against claiming that job gains in Texas over the last years was the catalyst: there has simply not been enough growth yet, nor has it been for a significantly sustained period of time, he says.

It’s kind of like taking the cast off too soon. So what does this mean to home buyers and sellers? More of the same. In other words, get rid of the notion that your home is some sort of moneybox that will make you rich. I do think many Americans are finally get realistic about real estate. Don’t let anyone pawn off stupid loans on you, and look at real estate as a long-term investment. Today we are hearing grumblings of inflation, and the rich are snapping up homes like crazy.

“Even re-employment in today’s market does not assure that a family’s bills will be paid because many workers are being hired at wages far lower than at their previous job,” says Roddy.

And keep in mind what our legislature and Congress is up to: raising taxes to cover the deficit. I am still bullish on real estate and would say buy now rather than later, but only if you can really afford to!

D/FW Residential Foreclosure Postings – MAY

AREA

OR COUNTY

#

TOTAL RESI

POSTINGS

MAY

2010

#

TOTAL RESI

POSTINGS

MAY

2011

%

CHANGE

FROM

MAY

2010

%

CHANGE

FROM

PREVIOUS

MONTH

%

CHANGE

FROM

MAY

2009

%

CHANGE

FROM

MAY

2008

%

CHANGE

FROM

MAY

2000

D/FW METRO 4,861 3,719 -23 % -28 % -33 % -16 % 265 %
DALLAS COUNTY 2,021 1,558 -23 % -27 % -35 % -25 % 178 %
TARRANT COUNTY 1,612 1,219 -24 % -32 % -34 % -12 % 263 %
COLLIN COUNTY 668 462 -31 % -28 % -37 % -9 % 611 %
DENTON COUNTY 560 480 -14 % -23 % -19 % 5 % 714 %

Please Note:

  • The statistics listed above are for residential foreclosure postings, which include postings of single-family homes, condominiums, & townhomes.
  • N/A = Not Available
  • N/C = No Change
  • ‚ÄúPercent Change‚Äù is rounded to the nearest whole number.
  • D/FW Metro is the Dallas/Fort Worth Metro, which equals the sum of Dallas, Tarrant, Collin, & Denton Counties.