U.S. Properties with Foreclosure Filings Continue Downward Trend Amid Coronavirus Pandemic

Post featured image

8,892 U.S. Properties Received a Foreclosure Filing in July 2020; Foreclosure Rates Highest in Delaware, South Carolina, and Maine

IRVINE, Calif. – August 13, 2020 —ATTOM Data Solutions, licensor of the nation’s most comprehensive foreclosure data and parent company to RealtyTrac (www.realtytrac.com), a foreclosure listings portal, today released its July 2020 U.S. Foreclosure Market Report, which shows there were a total of 8,892 U.S. properties with foreclosure filings — default notices, scheduled auctions or bank repossessions — in July 2020, down four percent from a month ago and 83 percent from a year ago.

“Even as mortgage delinquency rates climb, foreclosure activity continues to be artificially low due to moratoria put in place by the Federal and State governments,” said Rick Sharga, Executive Vice President at RealtyTrac. “It’s inevitable that there will be a significant increase in foreclosures once these moratoria have expired, although it’s unlikely that we’ll see default rates reach the levels we saw during the Great Recession.”

Delaware, South Carolina, Maine post highest state foreclosure rates

Nationwide one in every 15,337 housing units had a foreclosure filing in July 2020. States with the highest foreclosure rates were Delaware (one in every 6,489 housing units with a foreclosure filing); South Carolina (one in every 7,328 housing units); Maine (one in every 7,542 housing units); New Mexico (one in every 8,255 housing units); and California (one in every 9,194 housing units).

Among the 220 metropolitan statistical areas with a population of at least 200,000, those with the highest foreclosure rates in July 2020 were Trenton, NJ (one in every 3,445 housing units with a foreclosure filing); McAllen, TX (one in every 3,833 housing units); Davenport, IA (one in every 4,038 housing units); Dayton, OH (one in every 4,055 housing units); and Albuquerque, NM (one in every 4,452 housing units).

Those metropolitan areas with a population greater than 1 million, with the worst foreclosure rates in July 2020 included Louisville, KY (one in every 5,383 housing units); Riverside, CA (one in every 7,345 housing units); Baltimore, MD (one in every 8,139 housing units); Cincinnati, OH (one in every 8,289 housing units); and St. Louis, MO (one in every 8,514 housing units).

Foreclosure starts down nationwide

A total of 4,530 U.S. properties started the foreclosure process in July 2020, down 7 percent from last month and 83 percent from a year ago.

Counter to the national trend, several states posted month-over-month increases in foreclosure starts, including Connecticut (up 54 percent); Michigan (up 42 percent); Missouri (up 34 percent); Virginia (up 32 percent); and California (up 1 percent).

Among metropolitan areas with a population greater than 1 million, those with the greatest number of foreclosure starts in July 2020 were Los Angeles, CA (285 foreclosure starts); New York, NY (190 foreclosure starts); Chicago, IL (182 foreclosure starts); Houston, TX (174 foreclosure starts); and Atlanta, GA (125 foreclosure starts).

Bank repossessions continue to drop to lowest levels

Lenders foreclosed (REO) on a total of 2,163 U.S. properties in July 2020, down 14 percent from last month and 80 percent from a year ago to the lowest since we began tracking in 2005.

“Even after default activity starts to increase, we may not see a similar increase in the number of repossessions,” Sharga noted. “The combination of record levels of homeowner equity, extremely limited supply of homes for sale, and strong homebuyer demand should give many distressed homeowners an opportunity to sell their property rather than lose it to foreclosure.”

States that posted the greatest number of completed foreclosures (REOs) in July 2020, included Ohio (222 REOs filed); California (188 REOs filed); Illinois (165 REOs filed); New York (161 REOs filed); and New Jersey (144 REOs filed).

Report methodology

The ATTOM Data Solutions U.S. Foreclosure Market Report provides a count of the total number of properties with at least one foreclosure filing entered into the ATTOM Data Warehouse during the month and quarter. Some foreclosure filings entered into the database during the quarter may have been recorded in the previous quarter. Data is collected from more than 2,200 counties nationwide, and those counties account for more than 90 percent of the U.S. population. ATTOM’s report incorporates documents filed in all three phases of foreclosure: Default — Notice of Default (NOD) and Lis Pendens (LIS); Auction — Notice of Trustee Sale and Notice of Foreclosure Sale (NTS and NFS); and Real Estate Owned, or REO properties (that have been foreclosed on and repurchased by a bank). For the annual, midyear and quarterly reports, if more than one type of foreclosure document is received for a property during the timeframe, only the most recent filing is counted in the report. The annual, midyear, quarterly and monthly reports all check if the same type of document was filed against a property previously. If so, and if that previous filing occurred within the estimated foreclosure timeframe for the state where the property is located, the report does not count the property in the current year, quarter or month.

Interested in finding out more about our pre-foreclosure and foreclosure data?

Contact ATTOM for Foreclosure Data Licensing Details.

Visit RealtyTrac.com for Foreclosure Search and Listings.

About ATTOM Data Solutions 

ATTOM Data Solutions provides foreclosure data licenses that can power various enterprise industries including real estate, insurance, marketing, government, mortgage and more. ATTOM multi-sources from 3,000 counties property tax, deed, mortgage, environmental risk, natural hazard, and neighborhood data for more than 155 million U.S. residential and commercial properties covering 99 percent of the nation’s population.

About RealtyTrac (Powered by ATTOM’s Property Data)

RealtyTrac.com is the premier foreclosure listing and search portal for investors and consumers looking to gain a competitive edge in the distressed market. Realtytrac.com grants access to insight that is typically only available to real estate professionals.

Media Contact:

Christine Stricker

949.748.8428

[email protected]

Data and Report Licensing:

949.502.8313

[email protected]

Please contact us if you have questions about the underlying data referenced in this article, or would like to have access to that data in the form of custom reports, API, Bulk File or DaaS.

Leave a Reply

Your email address will not be published. Required fields are marked *

Email our Media Contact
Email our Data Sales Team
Data Question?
Data Questions?

Contact our experts with questions about any of the data and analytics referenced in our articles.