As the national foreclosure inventory increased, new foreclosures slowed in August, according to data from an online foreclosure service.
Foreclosure.com announced Thursday that a total of 93,440 foreclosed residential properties were available for sale during August, marking a 3 percent upturn from the previous month.
"Foreclosure inventory has been steadily increasing since May, representing a slowdown in the purchase of foreclosed homes," said Brad Geisen, company president and CEO, in a written statement. "This trend of sustained high inventory presents a strong investment opportunity for buyers, as lenders are challenged with greater holding and disposition costs the longer that they have to hold on to a property."
Meanwhile, the number of new foreclosures declined from the prior month to 24,328 in August, the Boca Raton, Fla.-based company said.
Tennessee was the state with the largest foreclosure inventory, at 12,920 properties, and the biggest number of new foreclosures, with 3319. Next was Ohio with 8192 foreclosed properties for sale and 2083 new foreclosures. Michigan had the third widest inventory with 7,422 properties and Georgia the third highest number of new foreclosures with 1974, according to the announcement.
The smallest foreclosure inventory belonged to Rhode Island with 10 properties, while the lowest number of foreclosures during August occurred in Hawaii with two properties, Foreclosure.com reported.