Although the number of foreclosures has been reported as going down 8% since last month, it is still up 18% over this time last year. Don’t be mislead by the numbers, foreclosures are still ocurring in large numbers and the government is actively trying to create incentives to help prevent them. The good news is incentives for banks means more foreclosure alternatives for borrowers. Banks are shifting more and more of their resources, once reserved for foreclosures, to short sales and loan modifications in an attempt to limit runaway foreclosure figures. As illutrated in the Deutsche Bank loan performance figures shown below: