IRVINE, Calif., January 13, 2022 / PRNewswire / – ATTOM, licensor of the country’s most comprehensive foreclosure data and parent company of RealtyTrac (www.realtytrac.com), the largest online marketplace for foreclosure and distressed properties, released today Today’s 2021 year-end report on the US foreclosure market, which shows foreclosure filings – notices of default, scheduled auctions, and bank foreclosures – were reported on 151,153 properties in the United States in 2021, down 29% from 2020 and 95% from a peak of nearly 2.9 million in 2010, the lowest level since monitoring began in 2005.

Those 151,153 properties foreclosed in 2021 represented 0.11% of all housing units in the United States, up from 0.16% in 2020 and from a peak of 2.23% in 2010 .

Historic foreclosure activity and rate at the end of 2021

“The COVID-19 lockdown tsunami that some people had anticipated is clearly not happening,” said Rick sharga, executive vice president of RealtyTrac, an ATTOM company. “The efforts of the government and the mortgage industry have prevented millions of unnecessary foreclosures, and while it’s likely we will see a slight increase in the first quarter, we likely won’t see foreclosure activity return to low levels. normal levels before the end of 2022. “

ATTOM’s Year-End Foreclosure Report provides a unique number of properties with a foreclosure filing during the year based on publicly recorded and published foreclosure statements collected from over 3,000 counties across the country. nationwide, and these counties represent over 99% of the U.S. population, also available for license or custom report. See the full methodology below.

The report also includes new data for december 2021, showing that there were 17,971 U.S. properties with foreclosure filings, down 8 percent from the previous month but up 65 percent from a year ago.

Bank foreclosures decline 98% since their peak in 2010
Lenders repossessed 25,662 properties by foreclosure (REO) in 2021, down 49% from 2020 and 98% from a peak of 1,050,500 in 2010, the lowest level since data are available – 2006.

“We believe repossessions will continue to be below normal throughout 2022,” Sharga noted. “The owners have a record amount of equity – over $ 23 trillion – and over 87% of foreclosed owners have positive equity. This means that most borrowers will have the option of selling their home for a profit rather than losing everything in a foreclosure auction. “

States that saw the most REOs in 2021 included Illinois (3472 REO); Florida (2287 REO); California (1839 REO); Pennsylvania (1293 REO); and Texas (1236 REO).

Metropolitan statistical regions with a population greater than 1 million that saw the highest number of REOs in 2021 included Chicago, Illinois (1733 REO); St. Louis, Missouri (1255 REO); New York, New York (814 OER); Baltimore, Maryland; and Philadelphia, Pennsylvania (571 OER).

Lockdown begins at new nationwide record
Lenders began foreclosure on 92,346 US properties in 2021, down 30% from 2020 and 96% from a high of 2,139,005 in 2009, to a new all-time low rising at the date of availability of data on the start of data entry – 2006.

States that experienced the largest drop in foreclosure starts compared to last year included Maryland (down 81%); Oklahoma (down 70%); Idaho (down 64%); Nebraska (down 63%); and Connecticut (down 60 percent).

“The government’s moratorium on foreclosures, the mortgage forbearance program and the mortgage service guidelines promulgated by the CFPB in August have kept foreclosure starts artificially low over the past year,” added Sharga. “While the economic recovery should prevent a huge increase in defaults, we should see a gradual increase in foreclosure activity as these programs expire and service agents exhaust all loan modification options for borrowers. suffering. “

Contrary to the national trend, 4 states experienced an annual increase in foreclosure starts. They included South Dakota (up 20%); Vermont (up 36%); North Dakota (up 71%); and Nevada (up 85 percent).

Metropolitan statistical areas with a population of over 1 million that had at least 500 foreclosure starts in 2021 and recorded the largest declines in foreclosure starts compared to last year, including Philadelphia, Pennsylvania (down 56%); Washington DC (down 52%); Charlotte, North Carolina (down 51%); Cleveland, Ohio (down 42%); and Chicago, Illinois (down 42 percent).

However, contrary to the national trend, 3 metropolitan areas of more than one million inhabitants which had at least 500 housing starts of foreclosures in 2021, saw an annual increase. They included Birmingham, Alabama (up 4%); Miami, Florida (up 17%); and Las Vegas, Nevada (up 142 percent).

Nevada, Illinois, and Florida view the state’s highest foreclosure rates in 2021
States with the highest foreclosure rates in 2021 were Nevada (0.26 percent of housing units with a foreclosure filing); Illinois (0.23%); Florida (0.21%); Delaware (0.21%); and New Jersey (0.19 percent).

To complete the top 10 states with the highest foreclosure rates in 2021, were Ohio (0.18%); Caroline from the south (0.15%); Indiana (0.15%); Connecticut (0.13%); and Maryland (0.13 percent).

Cleveland, Las Vegas, Lake Havasu posts highest metro lock rates in 2021
Among the 220 metropolitan statistical areas with at least 200,000 inhabitants, those with the highest foreclosure rates in 2021 were Cleveland, Ohio (0.37 percent of housing units with a foreclosure filing); Las Vegas, Nevada (0.31%); Havasu Lake, Arizona (0.30%); Peoria, Illinois (0.30%); and Atlantic City, New Jersey (0.29 percent).

Metropolitan areas with more than one million inhabitants, including Cleveland, Ohio and Las Vegas, Nevada, who had the highest foreclosure rates in 2021, were, Miami, Florida (0.25%); Jacksonville, Florida (0.25%); and St. Louis, Missouri (0.22 percent).

Average time to foreclosure increases quarterly and annually
U.S. properties foreclosed in the fourth quarter of 2021 had been in foreclosure for 941 days on average, an increase of 2% from the previous quarter and 10% from a year ago.

2021 Year-End Average Days to Complete Lockdown

States with the longest average foreclosure time in Q4 2021 were Hawaii (2491 days); New York (1,529 days); Pennsylvania (1502 days); Louisiana (1476 days); and Florida (1378 days).

Q4 2021 High level takeaway foreclosure activity

  • There were a total of 56,174 properties in the United States that were foreclosed on in the fourth quarter of 2021, up 23% from the previous quarter and 82% from a year ago.
  • Nationally in the fourth quarter of 2021, one in 2,446 properties was the subject of a foreclosure file.
  • The states with the highest foreclosure rates in the fourth quarter of 2021 were Illinois (one out of 922 homes that have been the subject of a foreclosure file); Florida (one in 1,170 homes); New Jersey (one in 1,288 housing units); Nevada (one in 1,308 housing units); and Ohio (one dwelling in 1,439).

december 2021 High-level take-out foreclosure activities

  • Nationwide in december 2021, one in 7,647 properties had a foreclosure file.
  • States with the highest seizure rates in december 2021 were Nevada (one in 3,073 housing units with a foreclosure filing); Florida (one dwelling out of 3,813 dwellings); Illinois (one dwelling out of 3,818 dwellings); Delaware (one dwelling out of 3,834 dwellings); and New Jersey (one dwelling out of 3,901 dwellings).
  • 9,165 American properties began the foreclosure process in december 2021, down 12% from the previous month, but up 55% from a year ago.
  • Lenders completed the foreclosure process on 3,093 U.S. properties in december 2021, up 33% from the previous month and 54% from a year ago.

Methodology of the report
ATTOM’s US Foreclosure Market report provides a tally of the total number of properties with at least one foreclosure record entered into the ATTOM data warehouse during the month and quarter. Some entry deposits entered into the database during the quarter may have been recorded during the previous quarter. Data is collected from more than 3,000 counties nationwide, and those counties represent over 99% of the US population. The ATTOM report incorporates documents filed in the three foreclosure phases: Fault – Notice of defect (NOD) and Lis Pendens (LIS); Auction – Notice of fiduciary sale and notice of foreclosure sale (NTS and NFS); and real estate or REO (which has been foreclosed and repurchased by a bank). For annual, semi-annual and quarterly reports, if more than one type of foreclosure document is received for a property during the period, only the most recent filing is counted in the report. Annual, semi-annual, quarterly, and monthly reports all check to see if the same type of document has ever been filed against a property. If so, and if that previous filing was within the estimated foreclosure period for the state in which the property is located, the report does not count the property in the current year, quarter, or month.

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ATTOM provides foreclosure data licenses that can power various business sectors including real estate, insurance, marketing, government, mortgages, and more. Multi-source ATTOM from 3,000 counties on property taxes, deeds, mortgages, environmental hazards, natural hazards and neighborhood data for more than 155 million residential and commercial properties in the United States covering 99% of the population of the country.

About RealtyTrac (Powered by ATTOM property data)
RealtyTrac.com is the largest online marketplace for foreclosures and distressed properties, helping individual investors and real estate agents looking to gain a competitive advantage in the distressed market. Realtytrac.com allows real estate professionals to find, analyze and invest in residential properties.

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