10 Cities Where Foreclosures are on the Rise

Laura Joszt

Foreclosure filings in the U.S. are nearing a six-year low; however, the housing market recovery hasn't reached some cities. These 10 cities have high foreclosure rates and filings actually increased from December to January.

Foreclosure filings in the U.S. are down 7% from December 2012 to January 2013, nearing a six-year low and more homeowners are mortgage-free than underwater. However, the housing market recovery hasn’t reached some cities — year over year, foreclosure filings were down 28%.

“The U.S. foreclosure landscape in January was profoundly altered by the effects of new legislation that took effect in California on the first of the year,” Daren Blomquist, vice president at RealtyTrac, said in a statement.

Some of the metro areas with the worst foreclosure rates are on the mend, even if they are lagging behind the rest of the country. However, there are some areas where foreclosure rates increased a fairly sizable amount, according to RealtyTrac.

“For the first time since January 2007 California did not have the most properties with foreclosure filings of any state,” Blomquist said. “Instead that dubious distinction went to Florida, where January foreclosure activity increased on an annual basis for the 11th time in the last 13 months.”

According to RealtyTrac, Florida has the dubious distinction of the nation’s highest state foreclosure rate for the fifth month in a row. The state has four metro areas on this list. However, Illinois is struggling as well with two cities listed.

Life in these metro areas has been tough: Some of these cities were ranked “most miserable” by Forbes or among the “worst” by Money magazine because of unemployment and crime.

Here are the 10 cities with the worst foreclosure rates where filings increased month over month.

Atlanta-Sandy Springs-Marietta, Ga.

January rate: 1 in every 390 homes

Change from December 2012: +6.83%

Sarasota-Bradenton-Venice, Fla.

January rate: 1 in every 391 homes

Change from December 2012: +9.2%

Stockton, Calif.

January rate: 1 in every 277 homes

Change from December 2012: +11.10%

Las Vegas-Paradise, Nev.

January rate: 1 in every 283 homes

Change from December 2012: +11.61%

Ocala, Fla.

January rate: 1 in every 223 homes

Change from December 2012: +16.75%

Miami-Fort Lauderdale-Pompano Beach, Fla.

January rate: 1 in every 228 homes

Change from December 2012: +22.34%

Chicago-Naperville-Joliet, Ill.

January rate: 1 in every 293 homes

Change from December 2012: +22.62%

Rockford, Ill.

January rate: 1 in every 265 homes

Change from December 2012: +39.69%

Orlando-Kissimmee, Fla.

January rate: 1 in every 241 homes

Change from December 2012: +54.73%

Canton-Massillon, Ohio

January rate: 1 in every 366 homes

Change from December 2012: +120.27%

Read more:

U.S. Foreclosure Starts to Fall to Six-Year Low in January - RealtyTrac

Cities with High Foreclosure RatesBusiness Insider