"You may be seeing headlines about how foreclosures are rising. And if that makes you nervous that we're headed for a Boston condo for sale crash, here's what you should know. According to ATTOM, during the housing crash, over nine million people went through some sort of distressed sale (2007-2011). Last year, there were just over 300,000. So, even with the increase lately, we're talking about numbers that are dramatically lower."
"Experts in the real estate industry look at mortgage delinquencies (loans that are more than 30 days past due) as an early sign for potential foreclosures down the line. And the latest data for delinquencies is reassuring about the market overall. Right now, delinquencies as a whole are consistent with where we ended last year, which means we're not seeing the kind of increase that would signal widespread trouble."
"Right now, borrowers with FHA mortgages currently make up the biggest share of new delinquencies (see graph below): And here's why that may be happening. Borrowers with FHA mortgages may be more sensitive to shifts in the economy. And with recession fears, stubborn inflation, employment challenges, and more, it makes sense this segment of the market may be feeling it a bit more. But that doesn't mean it's a signal a crash is coming."
Foreclosure counts remain far below 2007–2011 crash levels, with roughly nine million distressed sales then versus about 300,000 last year. Mortgage delinquencies, defined as loans more than 30 days past due, serve as an early indicator for potential foreclosures and currently show stabilizing trends. Overall delinquency rates are consistent with year-end levels and do not signal widespread distress. The composition of delinquencies has shifted, with FHA borrowers representing a larger share of new delinquencies, likely due to greater sensitivity to economic shifts such as recession fears, inflation, and employment challenges. Other loan types remain low and stable.
Read at Boston Condos For Sale Ford Realty
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