Foreclosure filings have surged to the highest level since early 2020, fueled by rising insurance costs, property taxes and the end of COVID-era relief programs, The Wall Street Journal reports. Nearly 119,000 properties faced foreclosure in the first quarter, a 26% year-over-year increase.
Homeowners are experiencing "payment shocks" from taxes, insurance and job struggles, says Marina Walsh, an economist at the Mortgage Bankers Association. The surge comes amid other financial pressures, including rising credit card delinquency rates and the return of student loan payments.
Foreclosure filings hit their highest level since 2020
byu/mastertofu instocks
Posted by mastertofu
3 Comments
The important point here is that foreclosures remain well below long term averages and have not even begun to come close to prepandemic levels.
Nothing to see here, folks.
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Most people aren’t selling their houses because they are locked in an interest rate less than 3.5%. I imagine most of these foreclosures are new home buyers. Young people, already struggling a bit, wanting to start a family , and interest rates are 6.5%.