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A home in Sutherlin was recently sold after being foreclosed, purchased by Gorilla Capital and resold. The Eugene-based company tracks foreclosures and has seen a recent spike in Douglas County home foreclosures.
Douglas County is one of nine Oregon counties hit with a rising number of foreclosures in the first months of 2010 — jumping 28 percent in the new year from 58 foreclosures in December to the 74 recorded in January. February numbers didn't get much better, peaking at 71 foreclosures.
In January 2009, 51 foreclosures were recorded, followed by 48 filed in February last year.
The notices of default, the first step in the foreclosure process, have been compiled by Gorilla Capital. The Eugene-based business specializes in buying foreclosed homes at auction, making minor repairs and reselling the properties, often at below-market value, according to Chief Executive Officer John Helmick.
Since the company began tracking foreclosed homes in 2005, Douglas County has never seen numbers consistently this high, he said.
There was a peak in March 2009 of 75, which quickly leveled off to about 50 per month.
Rates averaged 20 notices of default per month in 2007 and 40 per month 2008.
The company's numbers, however, come with little information on the cause of the homeowners' troubles.
“We react to bank foreclosures. We have found it difficult to anticipate bank foreclosure activity; we deal and react,” Helmick said. “We have yet to find something to anticipate.”
Betty Tamm and her staff at Umpqua Community Development Corp. also have a hard time pinpointing the reason behind the recent jump in numbers. Foreclosure counselors are able to help roughly 90 percent of their clients — all in Douglas County — rework their mortgage terms to keep their home, said Olympia Church, a foreclosure intervention counselor.
Still, residents without any income or who have had to take a drastic pay reduction are the most likely to end up losing their homes, according to counselor Laura Robeson.
The high rate of unemployment in the county keeps clients coming through their doors, Tamm said.
Both Robeson and Church said they are currently juggling about 25 active cases. It is getting harder to keep up with phone calls asking about assistance, Robeson said. They aren't sure if more homes are actually going through foreclosures, or if more people are just becoming aware of Umpqua CDC's services.
John Amoroso, single-family housing director for Umpqua CDC, said the spike in numbers wasn't really a surprise to him.
“We tend to lag behind the rest of the country in both the job and housing market,” Amoroso said. “There are signs it is getting better, it just takes a little longer here, we are a little delayed. (Recovery time) is anybody's guess. I hope it is soon, but a lot depends on how well we are able to develop the economy in the county.”
Helmick said his company expects to see foreclosure rates swing the other way in the next two years and to be lower than ever. The loans hat are currently causing issues for homeowners were mostly issued in 2006 to 2008. But loans issued in the last 18 months have been “rock solid” in comparison, he said.
“We will work on the (bad) loans and then we will see a dramatic drop in foreclosures,” Helmick said. “(But) there will always be homes in foreclosure for a number of reasons.”
For those facing foreclosure, Umpqua CDC employees recommend attending an agency workshop to explore options. Always make a payment, Robeson said, even if it is not the full amount.
Tamm also cautioned people who may be in the foreclosure process and are contacted by companies offering help. Many times, companies offering unsolicited help are scammers. Foreclosure counseling is always free and legitimate companies never charge an “up-front” fee, she said.
Although some clients are beyond their help, Church said, the staff is able to recognize that fact, be honest with such homeowners and help them through their next step.
Being able help someone stay in their home is by far the best part of what they do, Robeson added.
“I love my job,” she said.
• You can reach reporter Heather Morse at 541-957-4208 or by e-mail at hmorse@nrtoday.com.
In January 2009, 51 foreclosures were recorded, followed by 48 filed in February last year.
The notices of default, the first step in the foreclosure process, have been compiled by Gorilla Capital. The Eugene-based business specializes in buying foreclosed homes at auction, making minor repairs and reselling the properties, often at below-market value, according to Chief Executive Officer John Helmick.
Since the company began tracking foreclosed homes in 2005, Douglas County has never seen numbers consistently this high, he said.
There was a peak in March 2009 of 75, which quickly leveled off to about 50 per month.
Rates averaged 20 notices of default per month in 2007 and 40 per month 2008.
The company's numbers, however, come with little information on the cause of the homeowners' troubles.
“We react to bank foreclosures. We have found it difficult to anticipate bank foreclosure activity; we deal and react,” Helmick said. “We have yet to find something to anticipate.”
Betty Tamm and her staff at Umpqua Community Development Corp. also have a hard time pinpointing the reason behind the recent jump in numbers. Foreclosure counselors are able to help roughly 90 percent of their clients — all in Douglas County — rework their mortgage terms to keep their home, said Olympia Church, a foreclosure intervention counselor.
Still, residents without any income or who have had to take a drastic pay reduction are the most likely to end up losing their homes, according to counselor Laura Robeson.
The high rate of unemployment in the county keeps clients coming through their doors, Tamm said.
Both Robeson and Church said they are currently juggling about 25 active cases. It is getting harder to keep up with phone calls asking about assistance, Robeson said. They aren't sure if more homes are actually going through foreclosures, or if more people are just becoming aware of Umpqua CDC's services.
John Amoroso, single-family housing director for Umpqua CDC, said the spike in numbers wasn't really a surprise to him.
“We tend to lag behind the rest of the country in both the job and housing market,” Amoroso said. “There are signs it is getting better, it just takes a little longer here, we are a little delayed. (Recovery time) is anybody's guess. I hope it is soon, but a lot depends on how well we are able to develop the economy in the county.”
Helmick said his company expects to see foreclosure rates swing the other way in the next two years and to be lower than ever. The loans hat are currently causing issues for homeowners were mostly issued in 2006 to 2008. But loans issued in the last 18 months have been “rock solid” in comparison, he said.
“We will work on the (bad) loans and then we will see a dramatic drop in foreclosures,” Helmick said. “(But) there will always be homes in foreclosure for a number of reasons.”
For those facing foreclosure, Umpqua CDC employees recommend attending an agency workshop to explore options. Always make a payment, Robeson said, even if it is not the full amount.
Tamm also cautioned people who may be in the foreclosure process and are contacted by companies offering help. Many times, companies offering unsolicited help are scammers. Foreclosure counseling is always free and legitimate companies never charge an “up-front” fee, she said.
Although some clients are beyond their help, Church said, the staff is able to recognize that fact, be honest with such homeowners and help them through their next step.
Being able help someone stay in their home is by far the best part of what they do, Robeson added.
“I love my job,” she said.
• You can reach reporter Heather Morse at 541-957-4208 or by e-mail at hmorse@nrtoday.com.
