There is even more good news for the nation seeking to wake up from its recession nap. The housing industry has seen a sharp decrease in the number of homes being foreclosed on in the month of June. The current rate of initiated foreclosures is down by almost 300,000 from the year previous. It is expected that the 2013 number of foreclosures will reach 800,000, while the number for last year came in at 1.1 million last year. This includes the 57,286 homes that were foreclosed on in the month of June. According to RealtyTrac Inc., this is the lowest rate in the last 7.5 years.
Home Prices Increasing
Further signs of a strengthening economy are present with the fact that the home prices are also on the rise again. The prices of homes are up almost 12 percent from last year. This shows signs that those who may have been affected by a foreclosure in the past are back into the swing of buying a new home. Analysts are watching the trend carefully to make sure that the lenders are being more careful in providing loans to those who can afford them. A second major bubble burst in the housing market will likely have a much longer recovery time.
Some States Still Sluggish
Even while the nation as a whole is recovering in the housing market, there are still states that are lagging behind. The states of Ohio, Illinois, Nevada and Florida are still facing considerable challenges with foreclosures still high. These states are showing lower home rates as well as a higher foreclosure rate. Once all of the states are decreasing their foreclosures, the nation will finally be truly on the road to recovery. In the meantime, happy homeowners will take the wins where they can get them.