The average amount of time properties have been in the foreclosure process neared a three-year high in the first quarter, just as
Timelines rose on a consecutive-quarter basis to 930 days from 857, Attom Data Solutions said in a report issued Thursday. The average number of days to foreclose hasn’t been that high since the fourth quarter of 2017, when it was 1,027.
The increase suggests bans on the foreclosure of owner-occupied properties are causing delays even for actions related to vacant properties that are allowed to proceed with the process. That boosts the likelihood of a backlog when the market opens back up.
“Hopefully, this extra time will give financially-distressed homeowners the chance to get back on their feet, and work with their lenders to avoid a foreclosure,” said Rick Sharga, executive vice president of Attom Data subsidiary RealtyTrac, in a press release.
Even though foreclosure actions are restricted to vacant properties and remain very low, the number of them keeps ticking up.
The total number of U.S properties with foreclosure filings rose to 33,699 in the first quarter, up 9% from the previous fiscal period but down 78% from the pre-pandemic era a year earlier.
Default notices, scheduled auctions and bank repossessions are included in the total number for foreclosure filings.
Just one in every 4,078 housing units had a foreclosure filing during the first quarter. The state with the highest foreclosure rate in the period was Delaware at one filing for every 1,705 units.
