A year-end report on 2019 found that foreclosure filings were down 21% from 2018 and down 83% from its peak in 2010. In the same period, bank repossessions are down 86%. Lender repossessions are down 37% and 86% from 2018 and 2010 respectively. These low numbers are likely due to the strong economy allowing borrowers to make their mortgage payments without lapse.
After the Dodd-Frank Act was passed in 2010, lending standards were at an all time high. In the years since 2010, the rules and regulations have slightly laxed leading to what would be believed to be a higher percentage of foreclosures. In reality foreclosure rates are at a recent historic low.
With the decline in foreclosure inventory and interest in the amount of inventory going up, now remains a good time for sellers with less than ideal property to find a buyer. Low mortgage rates allow more first time home buyers to enter their local markets and compete for the already low inventory causing some distressed elements to be overlooked.
