Home foreclosures slow in Minneapolis

MINNEAPOLIS, Oct. 4 (UPI) -- Housing authorities say foreclosures are slowing in Minneapolis, where more than 7,500 properties have been auctioned off during the last two years.

New foreclosures in the city dropped 10 percent from a year ago during August -- marking the second month of the last four in which the foreclosure rate dropped, The Minneapolis Star Tribune reported Saturday.

Neighboring St. Paul reported a 16 percent drop in August while foreclosure rates remain unchanged in the rest of Hennepin County said Natalie Fedie, a spokeswoman for the city of Minneapolis.

Foreclosures are slowing, in part, because the foreclosure epidemic started earlier in Minneapolis -- especially on the city's north side where poorer neighborhoods were the first targets of subprime lenders, said Brandon Nessen, executive director of Minnesota ACORN, which counsels people facing foreclosure.

"You look at some of these streets in north Minneapolis and 75 percent of the houses have been foreclosed, and there's only so many houses you can foreclose on," Nessen said.