Home foreclosures rose 48% in May from May of 2007. Foreclosures in May 2008 were up 7% from April of 2008. This figure represents default notices, auction sale notices and bank repossessions.

May is the third consecutive month showing an increase. This foreclosure number represents a continuing problem for homeowners to meet their monthly mortgage payments.

Realtytrac said the national foreclosure rate in May was one foreclosure for every 483 U.S. Households. Nevada had the highest foreclosure rate in the country, with one foreclosure filing for every 118 households.

California, the most populous State, reported nearly 72,000 foreclosure filings, the most of any State and up 81% from May 2007.

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Mortgage applications have taken a turn in a positive direction after several weeks of slow to no growth in that number. The sense is that this rise is a short term issue related to those buyers with cash available and to those seeking a bargain.

The nature of the real estate industry is that it is slow to turn positive in a consistent way. It will be a year before any consistency is had in real growth in home ownership.

There will always be a good deal to be had by those with the finances to make it work. However, mortgages are still a matter of excellent credit and good jobs. Neither is evident in the near term.

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The Real Estate World continues to show signs that the mortgage crisis will be long and deep.  Home foreclosures set a record for the first quarter of 2008. The delinquency rate jumped to 6.35% in the first quarter of this year.

Credit will remain the key factor in keeping buyers from making a home purchase for the forseeable future.  Banks have their own set of troubles as well. The F.D.I.C. is concerned that there will be major banks in peril and could fail.

In Norhtern Virginia some homes have been vacant for as long as 18 months. Some Northern Virginia subdivisions are littered with foreclosure signs.

The only bright spot is that if a buyer has cash there are deals to be had.

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Real Estate sales are not doing well in more than just a few locations. In Greensboro, North Carolina, in an upscale area, homes have been on the market for a year or more without much success.

The slow real estate market is not responding to the notion that the "bottom" has happened in real estate. Quite the contrary, home prices will continue to slip another 10% or more. There will not be an improvement in home sales until the credit markets allow buyers the opportunity to put down less than 20% on a home purchase.

The 2008 selling season will remain slow to non-existent. Realtors would like to believe that home sales will improve in a day or two. No way, it will be at least 12-18 months before the glut of homes on the market are purchased.

Look for 2010 to be a good year to sell a home, not much before that time.

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