ATTOM’s Q3 2024 U.S. Foreclosure Market Report, released today, reveals a drop in foreclosures, with 87,108 properties receiving filings — a 2% decrease from the previous quarter and a 13% drop compared to last year. September saw further improvement, with filings down 19% year-over-year. Overall, previous data from ATTOM reported dwindling foreclosure activity.
CEO of ATTOM, Rob Barber, urged caution, however, commenting "While we are seeing a decrease in foreclosure starts and repossessions, it’s crucial to remain vigilant, as any economic disruptions or changes in interest rates could shift the current trend."
Barber continued, "Moving forward, we anticipate foreclosure levels will stay relatively low, but there could be localized increases in areas struggling with affordability or other market pressures."
Foreclosure Trends and Key Data
ATTOM observed 62,380 properties enter the foreclosure process in Q3, down 1% from Q2 and down 10% year-over-year. States that had 1,000 or more foreclosures starts in Q3 2024 and saw the greatest annual decrease included, North Carolina (down 44%); Georgia (down 29%); and Maryland (down 22%).
Major cities, meaning metros with a population of 200,000 or more, such as New York (3,776 starts), Chicago (3,231), and Los Angeles (2,166) had the most foreclosure starts. However, Illinois, Nevada, and Florida lead in foreclosure rates, with Illinois seeing one foreclosure for every 904 housing units.
Bank Repossessions and Foreclosure Timelines
Lenders repossessed 8,795 properties in Q3, up 1% from Q2 2024 but down 12% from last year. Properties spent an average of 815 days in foreclosure, a 6% increase from last year. Louisiana (3,520 days) and Hawaii (2,531 days) have the longest timelines, while New Hampshire (165 days) and Minnesota (172 days) have the shortest.
