Home foreclosures rose on a monthly basis in October, with the highest rates recorded in Florida, Nevada, and New Jersey, according to ATTOM’s monthly update to its U.S. Foreclosure Market Report.
One in every 4,578 housing units nationwide had a foreclosure filing in October, for a total of 30,784 U.S. properties with default notices, scheduled auctions, or bank repossessions, marking a 4% increase from September, but an 11% decrease from Oct. 2023.
"Foreclosure activity remains challenging for U.S. homeowners, with starts and completed foreclosures up in October," said Rob Barber, CEO of ATTOM. "As we approach 2025, the recent Fed rate cut, and the new administration could impact mortgage rates and market stability."
States with the highest foreclosure rates were Nevada (one in every 2,741 housing units with a foreclosure filing); New Jersey (one in every 3,059 housing units); Florida (one in every 3,086); California (one in every 3,152); and South Carolina (one in every 3,272).
"While seasonal factors may slow things down briefly," Barber added, "we'll be watching closely to see how these recent dynamics affect the market in the coming year."
ATTOM recently released its Q3 2024 report on zombie foreclosure filings, which occur when a homeowner vacates their property after receiving a notice of mortgage default prior to a pending foreclosure being finalized. ATTOM registered a slight quarterly increase in zombie foreclosures in the third quarter, but a 20% annual decline.
Third-quarter foreclosures overall fell slightly by 1% from the second quarter, and by 10% from the third quarter of 2023.
Among large metropolitan areas with a population of more than 1 million people, October’s worst foreclosure rates were in Riverside, Calif. (one in every 1,978 housing units); Cleveland, OH (one in every 2,186 housing units); Fresno, Calif. (one in every 2,247 housing units); Indianapolis, IN (one in every 2,293 housing units); and Las Vegas, NV (one in every 2,314 housing units).
The foreclosure process was started by lenders on 20,950 U.S. properties in Oct. 2024, up 6% from September, down 10% year over year.
States with the most foreclosure starts included: California (2,915); Texas (2,282); Florida (2,227); New York (1,187); and Michigan (1,035). Major U.S. metros with the greatest number of foreclosure starts for the month were: New York (1,247); Los Angeles (911); Chicago (761); Miami-Fort Lauderdale (727); and, Houston (624).
Lenders repossessed 2,938 U.S. properties through completed foreclosures (REOs) in Oct. 2024, up 12% from last month but down 12% from last year.
