Many foreclosures in Phoenix-area housing market

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TEMPE -- A new report says more homes are being sold in the Phoenix metropolitan area now than last year, but the market is still flooded with foreclosures.

The Realty Studies report from the W. P. Carey School of Business at Arizona State University also shows one foreclosure happening for every two regular home re-sales in the Phoenix metro area last month.

The report says a recovery cannot really be established until foreclosure activity drops to historical levels, which would be about one foreclosure for every 20 regular home re-sales.

About 6,000 Phoenix-area homes were resold and about 3,100 foreclosed on in August this year.

That's actually down from the volume of 7,300 re-sales and 4,200 foreclosures recorded in July.

However, it's way up from just over 4,200 re-sales and about 3,300 foreclosures in the Phoenix area last August.

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