Foreclosure Filings Record 3% Monthly uptick In May

A total of 32,621 residential properties with foreclosure filings were recorded in May, according to data from ATTOM. This is up by 3% from April but down 7% from May 2023.

One in every 4,320 housing units across the country had a foreclosure filing last month. The states with the highest foreclosure rates were New Jersey (one in every 1,939 housing units with a foreclosure filing), Illinois (one in every 2,362 housing units), Delaware (one in every 2,595 housing units), Connecticut (one in every 2,600 housing units) and Florida (one in every 2,638 housing units).

Lenders started the foreclosure process on 22,385 properties in May, up 3% from the previous month and down 4% from one year ago. Lenders repossessed 2,879 properties through completed foreclosures in May, down 1% from April and down 28% from May 2023.

“May’s foreclosure activity highlights nuanced shifts in the housing market,” said Rob Barber, CEO at ATTOM. “While we observed a slight increase in foreclosure starts, the decline in completed foreclosures indicates resilience in certain areas. Monitoring these evolving patterns remains crucial to understanding the full impact on the real estate sector.”