Mortgage default notices filed against California homeowners jumped last quarter to the highest level in almost eight years, Dataquick Information Systems reported today.
Lenders sent homeowners 37,273 default notices — usually a precursor to foreclosures — in October, November and December. That was almost 37 percent more than the third quarter of 2006 and 145 percent higher than the same quarter in 2005.
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2006 / The Press-Enterprise
Default notices have risen sharply throughout California as riskier mortgages increased as prices rose.
There were 7,678 defaults filed against home and condominium owners in Riverside and San Bernardino counties in the fourth quarter, compared to 3,080 in the same quarter of 2005. Defaults have increased 181 percent in Riverside County and 140 percent in San Bernardino County.
Riverside, Tulare and Merced counties were the most likely locations for defaults, Dataquick reported. Homeowners in Inland Southern California and the Central Valley were the most at risk because of a concentration of first-time buyers who were forced to settle for mortgages with riskier terms.
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