RealtyTrac, the leading online market place for foreclosure properties, just reported the largest year-over-year drop in reported foreclosures since they began reporting in 2005. From Feb. 2010 to Feb. 2011 there was a 27% decrease and a 14% decrease from Jan. to Feb. 2011. Activity also hit a 36 month low in Feb. this year.

According to RealtyTrac, ?While a small part of February?s decrease can be attributed to it being a short month and bad weather, the bottom line is that the industry is in the midst of a major overhaul that has severely restricted its capacity to process foreclosures. We expect to see the numbers bounce back, but that will likely take several months.?

In Erie County there were 392 foreclosures for the month of Feb. that being relatively high considering places such as Delaware County had only 3 foreclosures. However, on an overall scale that is relatively small compared to Nassau County that had 8,405 foreclosures for the month.