Foreclosure filings have increased, just one month after the moratorium on foreclosures and evictions was lifted, according to data from ATTOM. Foreclosure filings have increased 27 percent nationwide. When compared to where these numbers were in August 2020, foreclosure filings in August 2021 were 60 percent higher.
ATTOM estimates that a total of 15,838 properties received a foreclosure filing during August 2021, whether it be through a notice of default, a bank repossession, or a scheduled auction.
This uptick in filings was expected following the recent lifting of the government’s foreclosure moratorium. Housing experts believe the nation will see a continued increase over the next three months. Many of the loans that were in default just before the moratorium was issued are now re-entering the legal system through foreclosure filings. However, courts are struggling to catch up on foreclosure filings that were not processed during the pandemic during the time of the moratorium, which means that foreclosures will likely continue to stay at below normal levels through the end of 2021.
According to Black Knight, as of September 7, over 1.6 million mortgages remained in forbearance. Of these 1.6 million, 400,000 will have reached their final expiration for forbearance as of the end of the month. While homeowners who exited their forbearance programs have done well thus far, Black Knight reports that many of them coming up have larger arrearages to catch up on, which means these homeowners might not fare as well as previous ones.
Additionally, Black Knight reports that as of mid-August, 36,000 mortgages that were in forbearance are now flagged as being in active foreclosure. Of these, 88 percent were already considered delinquent prior to going into forbearance.
Foreclosure filings were up 27 percent from the previous month with 8,348 foreclosure proceedings started in August. This figure is up nearly 50 percent from the prior year.
According to ATTOM reports, one in approximately every 8,677 U.S. housing units had a foreclosure filing in the month of August. The highest rates were seen in Illinois, Nevada, New Jersey, Delaware, and Ohio.
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Choosing the right attorney can make the difference between keeping your home or losing it in foreclosure. A well-qualified Miami foreclosure defense attorney will not only help you keep your home, but they will be able to negotiate a loan that has payments you can afford. Miami foreclosure defense attorney Timothy Kingcade has helped many facing foreclosure alleviate their stress by letting them stay in their homes for at least another year, allowing them to re-organize their lives. If you have any questions on the topic of foreclosure, please feel free to contact me at (305) 285-9100. You can also find useful consumer information on the Kingcade Garcia McMaken website at www.miamibankruptcy.com