Lee County - Housing foreclosures are flooding the real-estate markets nationwide! Florida is only number two, behind California, when it comes to the number of foreclosures.

Here's what we're looking at in Southwest Florida:

Foreclosures went up 423% from May of last year in Lee County, it jumped nearly 650% in Collier County and it's up more than 150% percent in Charlotte.

Lee County Clerk of Courts Civil Office Supervisor Lori McCloud said,'It's telling us something is happening in Lee County." The Lee County Clerk of Courts is seeing a surge of foreclosures with 868 foreclosures filed in May.

The number has been steadily increasing during the last eight months. McCloud tells WINK News Lee County is even exceeding larger counties when it comes to foreclosures, "We called Hillsborough County and Pinellas County and it seemed like, at least Hillsborough County, our numbers were higher than theirs. That's surprising."

The Clerks Office is increasing its foreclosed property sales and extending the days of the auction due to the spike in foreclosures.

The homes that don't sell there ending up back on the market in Southwest Florida. But, real estate agent Sande Ellis says that doesn't mean you should rush out to buy a foreclosed home. Ellis said,

"The price point on those properties has not come down that much to make a difference. Most are one hundred percent financed and banks are getting as much as they can." Ellis added, "It's sad, we all believe in the American dream and we want to see people in their homes."

While she's not expecting the foreclosure rates to drastically change the real estate market in Southwest Florida, it is increasing supply and choice for perspective buyers. She said, "I don't think it's going to necessarily turn the market around, but what I think will happen, sellers are going to respond to it more quickly...and it may actually help sell their properties more quickly than those in distress."

Ellis adds the market is starting to bounce back, with lower interest rates and homes selling at more realistic prices.