Upon further reading the number of defaults and limited by the capacity to process defaults at the banks. Which means it has nothing to do with the distress of the homeowner.
Defaults do seem to be spreading from lower-cost submarkets within California to more expensive neighborhoods, according to the report. The most affordable ZIP codes in the state accounted for 41.2% of all defaults, down from 42.9% a year ago and 53.3% from the fourth quarter of 2009.
Read it allBut the more affordable areas are still seeing higher concentrations. ZIP codes with median prices below $200,000 saw 14.4% of every 1,000 homes receive a filing, compared to 2.7% in ZIP codes with prices above $800,000.