Update: Where the foreclosures are: Hardest-hit ZIP Codes

Update: We've created a data search tool that I hope will be valuable to readers: use this widget to search foreclosure trends by ZIP code throughout Southern California in the first quarter of 2008, so that you can see where the foreclosure problem is most acute, and where it is least evident.

We've calculated foreclosures per household (technically, the other way around: households per foreclosure) to correct for varying populations in different ZIP codes.

A sneak preview: The 10 L.A. County ZIPs with the highest number of foreclosures in 1Q 2008, and the percentage increase from 1Q 2007. Source: DataQuick Information Systems. These are for single-family detached homes.

1) Lancaster 93535     345   392%
2) Palmdale  93550     323   487%
3) Lancaster 93536     255   467%
4) Palmdale  93551     198   421%
5) Palmdale  93552     179   442%
6) Lancaster 93534     146   329%
7) Sylmar     91342      142   426%
8) Norwalk    90650     129   361%
9) Pacoima   91331     105   483%
10) Reseda  91335      101  321%

Your thoughts? Comments? E-mail story tips to peter.viles@latimes.com
Photo Credit: "Snow in Palmdale Mountains," by Frank, submitted to "Your Neighborhood, Antelope and Santa Clarita Valleys," on Your Scene at LATimes.com.

Comments

[Jon K.]

I don't have too much sympathy for those who are losing their homes. The majority of this problem was created by the joint forces of lies and greed. I, myself, know multiple who lied on their loan applications and assured me that "housing in Los Angeles was always going to go up in value" against all reason. Karma's a bitch.

[Cal]

Malting from the outside in (away from job centers in) and bottom up (in close less desirable areas upwards).

The housing ladder is broken the move up markets won't have people able to move up only people with no homes jumping ahead of others up the housing ladder.

[Toby]

Reseda is number 10...that means it's in the Valley.

[desmo]

I just looked at a abandoned house in a very nice area of Valencia (Northbidge) with a HOA. It looked like a dead jungle in front, 20 ft tree just fell over, mailbox grown over, dead lawn, trash, etc. Can you imagine what it looks like in PalmCaster?

[kat]

I see that the media has tired of creating mass hysteria over this housing "crisis" and is now trying to create a food shortage. Yes. Seems because Sam's is low on 20lb bags of rice America is in for a food shortage!

I truly, truly hate the media and everyone in it. Viles here thinks a bunch of stupid, greedy people living in $750,000 upside down (deservedly so) houses is a crisis. Viles and others like him have managed to convince the public that the surreal world of SoCal real estate is relevant to anyone outside of the idiocracy of over inflated real estate hot spots.

Since the only victims of this real estate hoax are the stupid people of SoCal and the wage slaves who bought homes the couldn't afford, it's really neither here nor there. But now people like Viles are going to create a false food shortage and that's a different story. Most people in this country are stupid enough to beleive it could be true. So you know what's coming? A run of the grocery stores.

One day some poetic justice will visit upon Viles and his ilk. I just hope they are smart enough to notice it.

[Rob]

Kat,
The Druggies are gone. It okay, it going to be okay...

Off topic, but I see that BofA still has the 12gauge pointed at the big toe. Anyone want to guess on the stock pop when the deal falls through, or is that just rhetorical?

[shockg]

1) Lancaster 93535 345 392%
2) Palmdale 93550 323 487%
3) Lancaster 93536 255 467%
4) Palmdale 93551 198 421%
5) Palmdale 93552 179 442%
6) Lancaster 93534 146 329%
7) Sylmar 91342 142 426%
8) Norwalk 90650 129 361%
9) Pacoima 91331 105 483%
10) Reseda 91335 101 321%

LOL. So basically the foreclosures are centered in ghetto neighborhoods that most don't want to live in. And to think, so many of you sold your home for this. Great move. On the other hand, if you aspire to own property in Palmdale your in luck!!!

[Paul H]

"Palmcaster" looks fine. Yes there are a lot of foreclosed proerties in the Antelope Valley, but at least they aren't $500,000 sitting next to the Harbor Fwy, on 3000 sq. ft. lots. I've read this blog for a long time, and it's difficult reading these opinions because they're always negative. Palmdale is this...Lancaster is that...Gardena's a ghetto, Echo Park is blah blah..etc...etc....Bottom line is if you can afford a home in an area that you're comfortable, and you're not in it to "flip it" in a couple of years, go ahead and buy. I'd rather buy and enjoy a home than continue to pay my landlord to live in this overpriced cardboard box!!

[anonymous]

look at shockg grasping at straws. "It's happening in Reseda, but not in Sherman Oaks." Next week: It's happening in Sherman Oaks, but not in Bev Hills. Then, Santa Monica's still up!!! My lord you are so desperate. Have you no shame?

[Jim]

I agree. If your house value has dropped 25% get out of it. You are only paying the bank high rent at this point. Stop paying your mortgage for 8 months, live free and save, then rent.

In California if you have not refinanced your loan or taken out an equity line you can walk away from your obligations deficiency free. Also Bush passed the tax relief act in 2007 that does not tax the difference.

you might owe state tax but talk to your accountant about deductions that can offset this such as the cost of moving, etc..

Companies walk away from their obligations all of the time, contracts, pensions, 401K's, outsourcing, illegal immigration labor, etc.. Citizens have to realize they better start acting like businesses to survive. It is all about the bottom line.

you can buy again in three years anyways.

[TC]

Well, for those of you who think the area is nothing but a giant slum, you are pretty deluded. The Antelope Valley was doing fine during the runup until investors brought money up from LA proper and pretty much destroyed the affordable market here in 2 years, this was followed by the builders who ran tracts over every acre of desert they could scrape up.

So the result is fairly obvious, too many overpriced homes and thus the foreclosures. The Antelope Valley was late to the game, thus they are the lucky winners right now at the end of the subprime mess.

But by all means, please keep up the stigma that it's a slum and tell all your friends the same. I will be glad to keep my 2 mile commute to work uncongested and I have my eye on a nice ranch with a couple acres, but it may double my commute, so who knows??

[John]

The increase in foreclosures indicates that a worsening condition, but not the extent of the problem. A ratio of foreclosures over total number of homes would show how pervasive the problem is within that particular zipcode. For example, are 0.1% of the home in foreclosure, or is it 1%.

My 2 cents.

[Semphris]

Well this explains alot. Being in the aerospace industry I'm firmly planted here in the AV. We've been renting for 3.5 years waiting on some level of reality to settle in. 2 weeks ago we started seeing listings of REOs in the low 200's in neighborhoods where homes sold for 400+. The banks have been holding on to their prices or not selling at all up until now. After seeing these new numbers it now makes sense. Some of them might be trying to unload these homes before they are swamped with inventory.

Foreclosures in March according to a broker friend of mine outnumber sales 2 to 1 here in the AV. I don't know where he got that info from but there is no reason for him to lie about it.

[Semphris]

Well this explains alot. Being in the aerospace industry I'm firmly planted here in the AV. We've been renting for 3.5 years waiting on some level of reality to settle in. 2 weeks ago we started seeing listings of REOs in the low 200's in neighborhoods where homes sold for 400+. The banks have been holding on to their prices or not selling at all up until now. After seeing these new numbers it now makes sense. Some of them might be trying to unload these homes before they are swamped with inventory.

Foreclosures in March according to a broker friend of mine outnumber sales 2 to 1 here in the AV. I don't know where he got that info from but there is no reason for him to lie about it.

[Brian Maser]

Most of the defaults / foreclosures I see coming through my foreclosure database are going right back to the bank. Most of the loans being foreclosed are 2005, 2006 and 2007 loans. Due to the loss in value, these listings are all becoming short sales listings, even if you catch them early in the foreclosure process. Banks need to wake up to the reality that if they get a strong current market value offer from a real buyer, they need to move things along and get the deal approved ASAP. At this stage the banks are not doing a good job, on the local level, putting decision makers in the field. Realtors need to get more aggressive with the banks to get them to accept good offers from buyers, who are giving real market value offers. The sooner we can get these short sale listings sold, the more inventory will get cleared and other properties can sell. The longer these properties sit, waiting for bank approval, the harder the values will continue to fall. Brian Maser of Abbot Kinney Real Estate (Listing Agent).

[Irv]

Problem is that a lot more foreclosure actions are now on the horizon. I'm seeing homeowners in trouble in all the more expensive areas as well, especially those who used their home equity as a piggy bank to buy goodies over the last several years! Brace yourselves for major hits in home values, even in the places we thought it never could happen.

[Leb]

Oh, now, after seeing these numbers, it's clear to me that the foreclosure crisis has spread EVERYWHERE......isn't that what the headline said? Go back and look at the facts, or are they even relevant anymore?

[Barbara]

I just wanted to post on here a law firm that really helped my situation when i was unsure what to do. I was 2 months behind on my mortgage and only because it was a mixup with my lender switching from one lender to another. it wasnt even my fault! and after months of trying to talk to them and getting such a runaround i realized that a lawyer was the best route and with all the scams out there i was very fortunate to find a legitimite one that delivered! they cut my payment in half and started my payments fresh! I spoke with Bob he was very kind and very knowledgable and i checked out there license on teh california bar association and had an outstanding track record: Alfred J. Verdi Law Group
and for those of you who have already lost your home just stay positive, things always work themselves out.