For a month that is.

The 565 houses returned to lenders or sold at the courthouse steps in June in Fresno County was up only 1% from May, keeping the county's foreclosure rate at No. 18 in the state, according to ForeclosureRadar, an online tracking and auction service.

Some of the hardest-hit regions in the state - Los Angeles, Riverside and San Bernardino counties - experienced declining sales. But don't get too excited; foreclosure activity was up significantly from 12 months before. And San Joaquin County remained the hot spot with 1,236 houses going back to lenders or sold at the county courthouse, a 5% hike from May.

ForeclosureRadar's Sean O'Toole said lenders are offering sharp discounts at auction, sometimes 50% or more, to get properties off their books, often to no avail. Those houses are then listed with real estate agents and sold through traditonal channels.

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