By Rob Scott
MEDFORD, Ore. — The statistics for Oregon home foreclosures in the month of May are in and there is a dramatic spike after a drop in April.
Less than a month from Wednesday, a new bill will go into affect requiring lenders to hold mediations with homeowners facing foreclosure. Back in April, Governor Kitzhaber signed Senate Bill 15-52 into law. This likely lead to the 19% rise in May, as lenders try and push through foreclosures before the law kicks in on July 12th. Holding mediation sessions could prolong the foreclosure process.
“That’s going to be a time consuming process I’m guessing,” says Real Estate Broker Alice Lema. “It can be problematic and add time to the foreclosure process, so there may be a push; especially from some of the bigger banks to get some think done sooner.”
The increase in foreclosures last month could be a little misleading in the big picture, even with last month’s spike. Foreclosure levels statewide are still lower than at this time last year. The first quarter this year in Oregon saw 32% fewer foreclosures than in the first quarter of 2011.