That’s because while foreclosure filings have moved higher in recent years, those big increases are from the historic lows of the COVID-19 pandemic, when delinquencies plummeted sharply.
Foreclosures still low compared with pre-COVID years
Back in May 2020, foreclosure filings across the US totaled just 8,767, according to ATTOM. But in March of that year, at the onset of the pandemic, there were 46,800 foreclosures – well above their current levels.
And in 2018, they were even higher: that year, foreclosures peaked at 75,107 in June, more than double the rate recorded last month.
Amir Nurani (pictured top), broker-owner at the California-based Left Coast Leaders, told Mortgage Professional America the fact that delinquencies are still hovering below historical norms means there’s no reason to panic, describing the recent increase as “hyperbolized”.
That’s not to discount the stress many homeowners are feeling. “We have pain in the labor market. You’re seeing layoffs increase, you’re seeing job losses happening,” Nurani said. “You’re hearing down the grapevine that the ability to find a job has been impacted adversely.”
