Foreclosures in Hawaii rose again in November for the 29th straight year-over-year increase, as resort areas of the neighbor islands continue to push the statewide rate higher.

While Oahu fared the best in the foreclosure data released today by online foreclosure specialist RealtyTrac, none of the islands are out of the danger zone, said Daren Blomquist, RealtyTrac's marketing manager.

Last month, RealtyTrac moved Hawaii's rank up two spots to 15th among states for foreclosures. Foreclosures in Hawaii fell nearly 6 percent from October, but grew about 122 percent from the year before.

Hawaii's November foreclosure rate, one in 581 households, was better than the nation's rate of one per 417 households.

Still, there is cause for concern that Hawaii's default and auction notices, which represent the earlier stages of foreclosure, are growing rapidly along with the number of last-stage bank-owned properties, Blomquist said.

On an annual basis, Hawaii default notices rose 26 percent, auction notices rose 98 percent and bank-owned notices rose 717 percent, he said.

“;This means that not only is Hawaii working through the wave that we saw hit this year and last, but at the same time more properties are coming into the system,”; Blomquist said. “;That foreshadows a continued flow of bank repositions into next year in increasing numbers.”;

There were 370 foreclosures on Oahu last month, or one per 905 households.

Foreclosures on the neighbor islands rose more rapidly.

Foreclosure is not as big on Oahu as it is in resort areas, said Paul Brewbaker, principal of Honolulu-based TZ Economics.

“;Foreclosures and delinquencies are at the tail end of their ride, but it's a management issue because toxicity is concentrated in resort areas with out-of-state buyers,”; Brewbaker said.

Hawaii could take awhile to work through the legal complexities of dealing with owners who are from places where it is legal to walk away from the deal, he said.

Maui again earned the dubious distinction of having the worst isle foreclosure problem. Some 197 Maui homeowners, or one per every 330 households, were in foreclosure last month.

The Big Island moved into second place with 228 foreclosures, or one per every 341 households. On Kauai, there were 77 foreclosures last month, or one for every 379 households.

Given current conditions, Hawaii foreclosures will continue rising through 2010, but not at the level seen after the Japanese housing bubble burst during the last down cycle, said Georgia Roberson, REO (real-estate owned) director for Coldwell Banker Pacific Properties LLC.

Unlike the Japanese bubble, this time around artificial valuations are less to blame, Roberson said.

“;Most of the properties being foreclosed on now are 2005 and 2006 mortgages where the owners had ARMs (adjustable rate mortgages) and balloons that they can't refinance,”; she said.

Based on trends set by other states, RealtyTrac expects Hawaii will still be battling foreclosures at the end of next year, Blomquist said.

Hawaii's foreclosure growth rates track about a year behind problem areas like California, Nevada and Florida, he said.

“;For most of last year, they were all showing the kind of triple-digit foreclosure growth rates that Hawaii is posting now.”;

While Hawaii foreclosures stayed at relatively low levels in 2008, they are coming in waves now, he said.

“;Eventually, we will start to see those percentages table off, but they'll still be growing at a slower pace through much of 2010,”; Blomquist said.