10/29/2009 5:00:00 AM Foreclosures, loan defaults trend down
By STEVEN G. WATSON Associate Editor
Foreclosures and mortgage defaults are slowly trending downward in Madison County and the jobless rate hit its lowest mark all year as numbers for the third quarter were released recently.
Madison County has experienced a 10.7 percent decrease in foreclosures through the first three quarters of this year, according to documents obtained from the Chancery Clerk.
Reports show a 10 percent increase in mortgage defaults over last year, but in the third quarter that trend reversed itself, dropping by 20 percent.
New building permits are still down dramatically in Madison County, but have picked up in recent months due to tax credits for first-time homeowners and low interest rates.
Madison County ranked third in the state for jobless claims, with only 6.3 percent of residents claiming unemployment, compared to the state's average of 8.8 and the country's average of 9.5 percent.
In July, the county's unemployment rate hit an 18-year high of 7.9 percent. The last time it was that high was in June of 1991 when it hit 8.9 percent.
Only Scott and Rankin counties had a lower jobless rate at 5.9 and 5.6 respectively.
In April, May and June there were 58 foreclosures in Madison County, signified by the filing of trustee's deeds. During the same period in 2008 there were 66 - 62 in 2007 and 25 in 2006.
In July, August and September of this year there were 58 foreclosures in the county. During the same period in 2008 there were 78 - 55 in 2007 and 28 in 2006.
Through nine months this year there have been 174 foreclosures, compared to 195 in 2008, 163 in 2007 and 73 in 2006.
Defaults on mortgages continued to rise through the second quarter, but slowed in the third quarter, signified by the filing of substitute of trustee notices.
There were 141 in April, May and June compared to 101 over the same time in 2008 (81 in 2007 and 44 in 2006).
In July, August and September there were 99 defaults from as compared to 124 in 2008 (102 in 2007 and 87 in 2006).
Chancery Clerk Arthur Johnston says it is impossible to monitor the exact number of foreclosures and mortgage defaults in the county, but by monitoring trustee filings patters can be seen.
Madison County Zoning Administrator Brad Sellers reports that there have been a total of 227 applications for residential building permits in the unincorporated areas of the county so far this year.
That's down from 700 issued in 2007 and 468 issued in 2008.
