Texas sees spike in foreclosure activity in May
US foreclosure filings rose 185% year-over-year in May, with Texas recording the third-highest number of foreclosures in the nation, according to a new report.
ATTOM found that foreclosure deposits (default notices, scheduled auctions or bank foreclosures) totaled 30,881 last month. According to the company’s May 2022 U.S. Foreclosure Market Report, one in every 2,000 homes went into foreclosure.
Illinois, New Jersey, Delaware, Ohio and Florida had the highest foreclosure rates.
Lenders began the process of foreclosure on 22,099 US properties last month. The states with the most foreclosures are Florida (2,483), California (2,238), Texas (2,019), Illinois (1,757) and Ohio (1,285).
“Interestingly, there were nearly ten times as many foreclosures opened as foreclosures completed,” said Rick Sharga, executive vice president of market intelligence at ATTOM. “This suggests that borrowers in financial difficulty may find ways to avoid losing their home to a foreclosure sale.”
Lenders repossessed 2,857 U.S. properties through completed foreclosures (REOs) in May, up 117% year-over-year. The states with the most REOs were Illinois (350), Michigan (249), Pennsylvania (226), New Jersey (175), and Ohio (146).
“While there is some volatility in the monthly figures, foreclosure activity as a whole continues its slow and steady climb back to normal after two years of government intervention that led to historically low levels of defaults. payment,” Sharga added. “But with inflation now at its highest level in 41 years and soaring prices for basic necessities like food and gasoline, we could see foreclosure activity picking up a little faster than suggested. most forecasts.”