NEWS: U.S. Property Foreclosures Spike 132 Percent Annually

According to the latest statistical results, foreclosures have spiked in all 50 states. Alarmingly there were 78,271 U.S. properties with a foreclosure filing during the first quarter of 2022.

As shown on ATTOM's findings (Q1 2022), these numbers represent an increase of 39 percent from the previous quarter and up 132 percent from Q1 2021.

"Foreclosure activity has continued to gradually return to normal levels since the expiration of the government's moratorium, and the CFPB's enhanced mortgage servicing guidelines," said Rick Sharga, executive vice president of market intelligence for ATTOM. "But even with the large year-over-year increase in foreclosure starts and bank repossessions, foreclosure activity is still only running at about 57% of where it was in Q1 2020, the last quarter before the government enacted consumer protection programs due to the pandemic."

As shown on the graph, the number of foreclosures is starting to rise. And even though the numbers aren't as drastic as the one from the 2008 crisis, it is something to really pay attention because it could escalate into a more alarming situation. 

Overall, a recent article on the World Property Journal, the main points on this situation were summarized as the following:

• Nationwide in March 2022, one in every 4,215 properties had a foreclosure filing.

• States with the highest foreclosure rates in March 2022 were Illinois (one in every 1,825 housing units with a foreclosure filing); New Jersey (one in every 2,022 housing units); South Carolina (one in every 2,299 housing units); Delaware (one in every 2,579 housing units); and Ohio (one in every 2,604 housing units).

• 22,360 U.S. properties started the foreclosure process in March 2022, up 35 percent from the previous month and up 248 percent from March 2021.

• Lenders completed the foreclosure process on 4,406 U.S. properties in March 2022, up 67 percent from the previous month and up 180 percent from March 2021.