The rate of foreclosures in July was down 32 percent from a year earlier, according to RealtyTrac. That sounds like good news, but it masks a stubborn reality.
More than 5 million homes have been lost to foreclosure since 2006. That's a lot of real estate, and con artists are determined to put it to good use.
Some cities with high foreclosure rates actually have housing shortages now, not a glut of foreclosed houses on the market. President Obama's mortgage-relief plan has helped, but another factor is hedge funds investing in houses to rent out.
An LAPD police officer gives a tour of his precinct in Watts and the blight foreclosed homes have wrought upon the neighborhood. The City of Los Angeles says the banks who own the homes should be responsible for the upkeep of the foreclosures.