Mortgage defaults drop 21%

Mortgage defaults drop 21%

San Diego County’s housing recovery and the lingering effects of government intervention have helped keep mortgage distress at lower-than-normal levels, show data from DataQuick on Tuesday.

Notices of default — the first formal step in the foreclosures process — fell 21 percent from June to July to 516. But they are down 65 percent from the same time a year ago, the San Diego-based real estate tracker said.

Mortgage defaults have seen double-digit annual percentage dips for the past 12 months. That continual drop in distress has corresponded with substantial home-price hikes over the past year, which have helped free more people from negative equity and allowed them to sell their homes for profit or to break even.

Read the article here.