More mortgage misery

"While the foreclosure start rates were up for all types of mortgages, a reflection of the decline in home prices, the magnitude (of the national increases) is clearly driven by certain loan types and certain states," said Jay Brinkmann, the group's vice president for research and economics

For example, he said, subprime adjustable rate mortgages represent 6 percent of the loans outstanding, but 39 percent of the foreclosures in the quarter. Prime adjusted loans represented 15 percent of the loans, but 23 percent of the foreclosures started.

"Out of the approximately 516,000 foreclosures started during the first quarter," Brinkmann said, "subprime ARM loans accounted for about 195,000 and prime ARM loans 117,000."

Four states — Arizona, California, Florida and Nevada — accounted for about 89 percent of the foreclosures, a disproportionately high amount of the newly reported figures. Those states have suffered the sharpest price drops.

"The problems in California and Florida are extraordinary, and they are the main drivers of the national trend," Brinkmann said.

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