{"id":19533,"date":"2021-10-18T13:55:02","date_gmt":"2021-10-18T13:55:02","guid":{"rendered":"http:\/\/www.anthonydidonato.net\/wordpress\/?p=19533"},"modified":"2021-10-18T13:55:02","modified_gmt":"2021-10-18T13:55:02","slug":"no-need-to-panic-over-foreclosure-spike","status":"publish","type":"post","link":"http:\/\/www.anthonydidonato.net\/wordpress\/no-need-to-panic-over-foreclosure-spike\/","title":{"rendered":"No Need to Panic Over Foreclosure Spike"},"content":{"rendered":"

No Need to Panic Over Foreclosure Spike<\/h1>\n
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While U.S. foreclosure\u00a0starts\u00a0rose 67% in September compared with a year ago, they remain well below historic\u00a0levels.\u00a0The significant jump has to be seen in context: It is comparing the rate of foreclosure starts now to those of a year ago, when pandemic-led moratoriums were preventing foreclosures from moving forward.<\/p>\n

And the increase isn’t likely to lead to\u00a0a glut of homes on the market,\u00a0says National Association of REALTORS\u00ae Chief Economist Lawrence Yun. \u201cGiven that plenty of potential buyers were\u00a0outbid during the spring and summer months in\u00a0multiple-offer situations,\u00a0any increase in supply, even distressed properties, will likely be quickly absorbed,\u201d Yun says.<\/p>\n

In the third quarter, a total of 45,517 properties received foreclosure filings, including default notices, scheduled auctions, and bank repossessions, ATTOM Data Solutions said in its latest foreclosure market report. In particular, the month of September saw a significant increase in foreclosure-related actions as moratoriums ended. Foreclosure filings in September jumped 24% compared to the previous month and were up 102% compared to September 2020.<\/p>\n

\u201cDespite the increased level of foreclosure activity in September, we\u2019re still far below historically normal numbers,\u201d says Rick Sharga, executive vice president at RealtyTrac, an ATTOM company. \u201cSeptember foreclosure actions were almost 70 percent lower than they were prior to the COVID-19 pandemic in September 2019, and Q3 foreclosure activity was 60 percent lower than the same quarter that year. Even with similar increases in foreclosures over the next few months, we\u2019ll end the year significantly below what we\u2019d see in a normal housing market.\u201d<\/p>\n

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The states that posted the highest number of foreclosure starts in the third quarter were\u00a0California,\u00a0Texas,\u00a0Florida,\u00a0New York,\u00a0and Illinois. Broken down by metro area, the highest foreclosure starts in the third quarter were in New York, Chicago, Los Angeles, Miami, and Houston.<\/p>\n

Countering the trend, the metro areas that saw the largest decrease in foreclosure starts in the third quarter were:<\/p>\n