Foreclosures in the third quarter rose less than 1 percent from the second quarter and fell 34 percent from the third quarter of 2010.
RealtyTrac said foreclosure activity was at a "slow burn."
Foreclosure activity, which includes homes listed on default notices, repossessed by banks or with auctions scheduled, were reported on 214,855 homes in September, a 6 percent decline from August and a 38 percent decline from September 2010, RealtyTrac said.
"While foreclosure activity in September and the third quarter continued to register well below levels from a year ago, there is evidence that this temporary downward trend is about to change direction, with foreclosure activity slowly beginning to ramp back up," said James Saccacio, chief executive officer of RealtyTrac.
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