Inland Empire posts highest foreclosure rate of big metro areas A foreclosure sign sits in front of a home in Moreno Valley. Francis Specker / Bloomberg News June 14, 2012, 5:15 a.m. The Inland Empire had the highest foreclosure rate out of the nation's 20 biggest metropolitan regions last month, a new report shows, underscoring that distressed property remains elevated in California despite an improving housing market. Foreclosure filings in May were up 14% in Riverside County and up 25% in San Bernardino County compared with a month earlier, according to a new report by data firm RealtyTrac. Compared with May 2011, though, foreclosure activity was down 6% in Riverside County and essentially flat -- up 1% -- in San Bernardino County. Some experts have long voiced concern that a potential wave of new foreclosures could drag down the housing market just as it is starting to show signs of stirring back to life. Such a wave has yet to materialize in California. Statewide, foreclosure activity in May increased 8% from a month earlier but was down 19% from May 2011. · In Los Angeles County, foreclosure activity was essentially unchanged -- up 0.6% -- from April and down 25% from May 2011. · In Orange County, filings were down 5% month-over-month and down 25% year-over-year. · In Ventura County, filings were down 23% month-over-month and down 41% year-over-year. · In San Diego County, filings were down 4% month-over-month and down 21% year-over-year.