More homeowners are not paying their mortgages, contributing to a new high in the number of foreclosures started in a quarter, according to a report released Friday.

For the first time since rates spiked about a year ago, more than 1 percent of all loans entered foreclosure during the second quarter, according to a survey by the Mortgage Bankers Association, a national industry group.

California continued to lead the way in foreclosures with 1.82 percent started during the second quarter, according to the survey.

Also, late payments on subprime loans flattened compared to the first quarter but increased on prime loans, spiking to a late payment rate of 4 percent in California. That suggests that foreclosures over the next few months could come from borrowers whom were deemed less risky.

It also reinforces the conclusion by some economists that price depreciation plays a larger role in foreclosure than the type of loan product, analysts said.