Foreclosure activity dropped off significantly at the end of 2016, with diving rates of both completions and inventory in November, CoreLogic reports. According to its November 2016 National Foreclosure Report, completions fell 25.9 percent in November to 26,000, and inventory, which included 325,000 of all homes with a mortgage, fell 30 percent.
The number of mortgages in 90-days-or-more delinquency, in addition, fell 22.1 percent in November, with 1 million mortgages in serious delinquency—the lowest level since August 2007, according to CoreLogic’s report.
“The decline in serious delinquency has been substantial, but the default rate remains high in select markets,” says Dr. Frank Nothaft, chief economist for CoreLogic. “Serious delinquency rates were the highest in New Jersey and New York at 5.6 percent and 5 percent, respectively. In contrast, the lowest delinquency rate occurred in Colorado at 0.9 percent, where a strong job market and home price growth have enabled more homeowners to stay current.”
The five states with the highest number of completed foreclosures in the 12 months ending in November 2016 were Florida (48,000), Michigan (31,000), Texas (25,000), Ohio (22,000) and Georgia (20,000), according to the report. These states accounted for 36 percent of complete foreclosures nationally. Four states and the District of Columbia had the lowest number of completed foreclosures: the District of Columbia (221), North Dakota (260), West Virginia (375), Alaska (616) and Montana (627).
Four states and the District of Columbia had the highest foreclosure inventory rate in November 2016: New Jersey (2.8 percent), New York (2.6 percent), Maine (1.7 percent), Hawaii (1.7 percent) and the District of Columbia (1.6 percent). The five states with the lowest foreclosure inventory rate were Colorado (0.2 percent), Minnesota (0.3 percent), Arizona (0.3 percent), Utah (0.3 percent) and California (0.3 percent).
Since September 2008, there have been approximately 6.5 million completed foreclosures nationally, and since homeownership rates peaked in the second quarter of 2004, there have been approximately 8.6 million homes lost to foreclosure.