American Cities See Record Annual Foreclosure Rate Increases in Q2

Record high foreclosure rates in the second quarter were reported in Los Angeles, Seattle, Miami and New York, according to a report issued by PropertyShark.com.

Los Angeles led the four cities with a 282.01% increase in the second quarter compared to last year's Q2. Los Angeles reported a record 14,505 new residential foreclosures according to the report issued by PropertyShark.com. The amount of newly scheduled trustee sales soared by 63% in comparison to the previous year.

"The foreclosure chart is unfortunately starting to look like a ski jump, with the current number of new trustee sales this quarter increasing at one of the highest rates we have seen over the last two years," said Property Shark Foreclosures Product team member, Adina Dumitru.

New York City reported 961 new household foreclosures in Q2 2008, a 49.22% increase from the Q2 2007. Single family homes located in Queens and Brooklyn made up the bulk of properties that were being auctioned, the report noted.

Miami had 2,677 new foreclosures in Q2 2008, a 108.81% increase from previous year. Seattle reported 493 foreclosures in Q2 2008, a 47.60% increase from Q2 2007.

PropertyShark.com compiles foreclosed properties that are scheduled for auction in four key metro areas.

By Steve Stecyk and edited by Stephen Huebl