David Bahnsen, founder and CIO of Bahnsen Group, is examining the real estate market as young homebuyers struggle with the ongoing housing crisis.
New data shows that the number of home foreclosures in the U.S. was lower in the first half of 2024 than the same period in 2023, but some states are still seeing significant increases so far this year.
Real estate data company ATTOM Interim Foreclosure Report According to the report released Thursday, there were foreclosure applications (notices of default, scheduled auctions or bank foreclosures) on 177,431 properties nationwide in the first half of 2024. That’s a 4.4% decrease from the same period last year, but a 7.8% increase from the same period two years ago.
U.S. foreclosure rates have declined in the first half of 2024 compared to the first half of 2023, but some states have seen spikes so far this year. (Getty Images/Getty Images)
The percentage of homes going into foreclosure in the U.S. also fell 3% over the past six months.
“These changes could signal a possible stabilization in the housing market,” said Atom CEO Rob Barber.[H]However, it remains important to monitor these evolving patterns to understand the overall impact on the real estate sector.”
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The report noted that despite a decline in housing activity across the country, some states are seeing a surge in foreclosures.
Foreclosures and construction starts in the first half of 2024 were both down compared to last year. (Getty Images/Getty Images)
South Dakota The state with the biggest jump was North Dakota, where foreclosures increased 93% in the first half of 2024 compared to 2018. Next was North Dakota, where foreclosures increased 86%.
The third-highest-growing state is Kentucky, which has seen a 73% increase in foreclosures so far this year compared to last year, Massachusetts’ foreclosures are up 46% and Idaho’s are up 30%.
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Although these states have seen a significantly higher increase in the percentage of foreclosed homes, they are not among the states with the highest foreclosure rates.
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According to the study, New Jersey and Illinois tied for the top home foreclosure rate in the nation for the first half of 2024, with 0.21% of residential units facing foreclosure filings, followed by Florida at 0.20%, Nevada (0.19%) and South Carolina (0.19%).
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In its last report, ATTOM reported an increase in foreclosures nationwide in May, but June figures showed foreclosures were down 17% from the previous month and 22% from the same month last year.
