Foreclosure starts increased 8% in February compared with January and were up 1% compared with February 2024, according to ATTOM’s Foreclosure Market Report.
Lenders started the foreclosure process on 22,730 U.S. properties during the month.
States that saw the largest monthly increases in foreclosure starts included New Jersey (up 78 % from January); Colorado (up 58%); Iowa (up 57%); Georgia (up 42%); and South Carolina (up 29%).
Of the U.S. cities with a population of at least 200,000, those with the greatest number of foreclosure starts in February included New York (1,387); Chicago (1,367); Houston (1,050); Philadelphia (743); and Dallas (651).
Lenders repossessed 3,031 U.S. properties through completed foreclosures (REOs) in February, an increase of nearly 2% compared with January but down 11% compared with February 2024. This continues a trend of declining annual REO numbers seen in 12 of the last 13 months.
States that had at least 50 or more REOs and that saw the greatest annual decline in February included New York (down 49%); South Carolina (down 44%); New Jersey (down 43%); Pennsylvania (down 35%); and Ohio (down 34%).
Among the 225 metropolitan statistical areas with a population of at least 200,000, that saw the highest number of REOs included Chicago (154); Houston (101); St. Louis, MO (91); Detroit (87); and Philadelphia (78).
In total, 32,383 U.S. properties saw foreclosure filings — default notices, scheduled auctions or bank repossessions – up 5% compared with January but down 1.7% compared with February 2024.
“February’s rise in foreclosure filings suggests evolving market pressures,” says Rob Barber, CEO at ATTOM, in the report. “While some increase may reflect seasonal trends, the uptick in foreclosure starts both month-over-month and year-over-year signals potential shifts. We’ll continue monitoring how economic factors influence foreclosure activity moving forward.”
Photo: Matthieu Joannon
