U.S. FORECLOSURE ACTIVITY INCREASES QUARTERLY IN Q1 2024
Foreclosure Starts See Quarterly Increase of 2 Percent;
Bank Repossessions Up 7 Percent from Previous Quarter
ATTOM, a leading curator of land, property, and real estate data, released its Q1 2024 U.S. Foreclosure Market Report, which shows a total of 95,349 U.S. properties with a foreclosure filings during the first quarter of 2024, up 3 percent from the previous quarter but down less than 1 percent from a year ago.
The report also shows a total of 32,878 U.S. properties with foreclosure filings in March 2024, down less than 1 percent from the previous month and down 10 percent from a year ago.
“Q1 2024’s foreclosure data reveals a market in transition, with slight increases in filings and starts, alongside a notable decrease in REO properties,” explains Rob Barber, CEO at ATTOM. “While foreclosures remain relatively stable, we’re closely monitoring these trends. Homeowners continue to hold significant equity, contributing to a persistently hot housing market.”
Foreclosure starts increase nationwide
A total of 67,657 U.S. properties started the foreclosure process in Q1 2024, up 2 percent from the previous quarter and up 4 percent from a year ago.
States that had 100 or more foreclosures starts in Q1 2024 and saw the greatest quarterly increase included, New Hampshire (up 43 percent); Illinois (up 26 percent); Florida (up 22 percent); Rhode Island (up 21 percent); and Nevada (up 16 percent).
Those major metros with a population of 200,000 or more that had the greatest number of foreclosures starts in Q1 2024 included, New York, New York (4,404 foreclosure starts); Houston, Texas (2,977 foreclosure starts); Chicago, Illinois (2,867 foreclosure starts); Los Angeles, CA (2,398 foreclosure starts); and Miami, FL (2,319 foreclosure starts).
Highest foreclosure rates in Delaware, New Jersey, and South Carolina
Nationwide one in every 1,478 housing units had a foreclosure filing in Q1 2024. States with the highest foreclosure rates were Delaware (one in every 894 housing units with a foreclosure filing); New Jersey (one in every 919 housing units); South Carolina (one in every 929 housing units); Nevada (one in every 961 housing units); and Florida (one in every 973 housing units).
Among 224 metropolitan statistical areas with a population of at least 200,000, those with the highest foreclosure rates in Q1 2024 were Columbia, South Carolina (one in every 569 housing units); Spartanburg, South Carolina (one in 597); Lakeland, Florida (one in 624); Atlantic City, New Jersey (one in 628); and Cleveland, Ohio (one in 662).
U.S. Historical Total Foreclosure Activity
Other major metros with a population of at least 1 million and foreclosure rates in the top 15 highest nationwide, included Cleveland, Ohio at No.5; Riverside, California at No. 9; Orlando, Florida at No.10; Las Vegas, Nevada at No. 13; and Jacksonville, Florida at No. 15.
Bank repossessions increase 7 percent from last quarter
Lenders repossessed 10,052 U.S. properties through foreclosure (REO) in Q1 2024, up 7 percent from the previous quarter but down 20 percent from a year ago.
U.S. Completed Foreclosures (REOs)
Those states that had the greatest number of REOs in Q1 2024 were Michigan (1,049 REOs); California (845 REOs); Pennsylvania (838 REOs); Illinois (810 REOs); and Texas (596 REOs).
Average time to foreclose increases 2 percent from previous quarter
Properties foreclosed in Q1 2024 had been in the foreclosure process for an average of 736 days. While this marks a slight increase from the previous quarter, it represents a 20 percent decrease from the same time last year, continuing a downward trajectory observed since mid-2020.
Average Days to Complete Foreclosure
States with the longest average foreclosure timelines for homes foreclosed in Q1 2024 were Louisiana (2,641 days); Hawaii (2,031 days); New York (1,958 days); Nevada (1,701 days); and Kentucky (1,701 days).
States with the shortest average foreclosure timelines for homes foreclosed in Q1 2024 were Montana (123 days); Virginia (152 days); Texas (163 days); Wyoming (191 days); and West Virginia (217 days).
March 2024 Foreclosure Activity High-Level Takeaways
- Nationwide in March 2024, one in every 4,286 properties had a foreclosure filing.
- States with the highest foreclosure rates in March 2024 were Illinois (one in every 2,548 housing units with a foreclosure filing); Connecticut (one in every 2,609 housing units); New Jersey (one in every 2,638 housing units); Florida (one in every 2,779 housing units); and South Carolina (one in every 2,867 housing units).
- 23,312 U.S. properties started the foreclosure process in March 2024, up 3 percent from the previous month but down 4 percent from March 2023.
- Lenders completed the foreclosure process on 2,701 U.S. properties in March 2024, down 20 percent from the previous month and down 44 percent from March 2023.
