Note that these are a product of integrating Google Maps with housing and population data.
Two footnotes from Neighboreroo:
Collateral Risk Index is a unique way
of measuring investment risk in local real estate markets. When
reviewing home loan applications, lending institutions not only look at
the borrower’s finances and the property’s value, they evaluate risk
and volatility in the property’s neighborhood. The index accounts for
property and neighborhood characteristics, as well as local market
trends, flipping, fraud and default activity. The lower risk scores in
a lot of the areas may be positive news relative to future distressed
markets. Employment, the economy, interest rates and the conversion of
fixed to adjustable mortgages all affect the risk of defaults and
foreclosures, but mortgage lenders are being more careful about the
loans that they are making now.
Foreclosure Rate measures
the number of residential properties that have gone into foreclosure
during the previous three years at the neighborhood level and then the
percentages are consolidated to reflect the distressed property
activity at the zip code level. Foreclosure is the legal proceeding in
which a bank or other secured creditor sells or repossesses a parcel of
real property due to the owner’s failure to comply with an agreement
between the lender and borrower called a “mortgage” or "deed of trust”.
Commonly, the violation of the mortgage is a default in payment of a
promissory note, secured by a lien on the property.