The rate of Stockton home foreclosures was the second highest in California in January this year, based on data from a California foreclosure research firm.
With one residential unit out of every 107 units in foreclosure, Stockton ranked second only to Modesto, which posted a rate of also around one out of every 107 units.
Compared to other metro areas in the country, Stockton ranked fourth. Las Vegas topped the January foreclosure rate rankings, with one out of every 82 residential units in foreclosure, followed by Phoenix, with one out of every 102 households in foreclosure.
Like most other states, the pace of home foreclosures in California in January this year also slowed compared to December foreclosure activity. A total of 71,817 households in the state received foreclosure and default notices, including 17,000 already taken back by mortgage banks and listed for foreclosure homes sale.
Foreclosure filings in California, together with filings in Florida and in Arizona, accounted for over 44 percent of all foreclosure notices issued in the U.S. in January. Florida posted more than 47,000 filings while Arizona posted more than 21,000 filings.
In 2009, the pace of Stockton home foreclosures slowed by 7.5 percent compared to filings in 2008, but still higher by 84 percent compared to 2007 filings. Stockton was also still among the most foreclosure battered metro areas in the country, ranking fifth in foreclosure rate, behind the Las Vegas, Cape Coral, Merced and Riverside metropolitan areas.
While Stockton foreclosure activity slowed last year, statewide activity rose by 21 percent, with nearly 633,000 homes across the state put into the foreclosure process. The number represented 4.8 percent of all households in the state and put California fourth among state based on foreclosure rate.
Recently, California again saw a tax credit proposal that would stimulate jobs and home ownership in the state and would also cut down the inventory of new homes, pre-owned homes and properties in foreclosure homes sale in the state.
State Senator Roy Ashburn introduced a bill that would give $200 million in tax credits of $10,000 to home buyers. The bill mirrored the state tax credit last year, which was given to encourage buyers of new homes and help the struggling house construction industry. Ashburn claimed that the $70 million spend on tax credits last year generated $120 million in tax revenues.
Legislators supporting the tax credit bill contend that in addition to generating jobs, the state tax credits would also help mitigate the impact of the still high number of Stockton home foreclosures.