Foreclosure filings drop in April

The number of foreclosure filings reported on U.S. properties in April fell 9 percent from the previous month to roughly 219,000, according to RealtyTrac's latest U.S. Foreclosure Market Report.

While the month-over-month drop in foreclosure filings, which include default notices, scheduled actions and bank repossessions, was significant, it was not even close to the 34 percent drop since April 2010.

Although the decrease may appear to be the result of an improving housing market, RealtyTrac's chief executive officer, James Saccacio, says it is more likely the result of a backlog in paperwork.

“Foreclosure activity decreased on an annual basis for the seventh straight month in April, bringing foreclosure activity to a 40-month low,” Saccacio said. “This slowdown continues to be largely the result of massive delays in processing foreclosures rather than the result of a housing recovery that is lifting people out of foreclosure.

A number of homeowners who are struggling with their mortgage bill may want to obtain a refinance to help them reduce their payments to a more affordable level. However, most lenders won't agree to a refinance unless a consumer has a certain credit rating.

For consumers with bad credit, one option to get a quick credit fix may be to obtain credit repair. In many cases, consumers have a lower credit score than they deserve because their credit company did not follow federally mandated practices when reporting items. Victims of these unfair practices may want to work with a credit repair attorney, who may have the expertise to hold the company accountable for their reporting methods.