I’ve been saying for months that the number of foreclosures has been going down. Yet the Arizona Republic would continue to print misleadingly false news.

Well, they have finally reported what is really happening. In this article they finally say that the notices of trustee sales (notices of foreclosures) is going down.

Background: When somebody stops making payments on their house, they get a notice of foreclosure. If they don’t pay up, they are foreclosed on and they go to a trustee sale on the courthouse steps. If nobody buys the property at auction, the bank puts it on the market as a foreclosed property.

So, see in this chart that the number of foreclosure notices has been going down since September of last year, quite dramatically!

In case you are thinking, “Well the foreclosures go down because more people are short selling instead.” Nope. First, you get a trustee notice before you short sell, so this informs that, too.

Second, see in this chart that the number of foreclosures has been going down and the number of normal sales is going up. This is because, in part, people are avoiding foreclosure after they get their notices. It is also because there is an increased number of renovated properties on the market. These sell as regular sales.

So there, Arizona Republic!

What does this mean? Prices will start moving upward during this summer buying season. Let’s hope interest rates don’t go up, as well!