The Condition of the Foreclosure Market in PA and NJ Compared to a Year Ago

The Condition of the Foreclosure Market in PA and NJ Compared to a Year Ago

If you are a PA and NJ real estate agent, you may be wondering how the foreclosure market has changed in the past year. Foreclosure activity is an important indicator of the health and stability of the housing market, as well as a source of potential opportunities for buyers and sellers.

In this blog post, we will look at some of the latest data and trends on foreclosure activity in PA and NJ, and compare them to a year ago. We will also share some tips and resources for finding and dealing with foreclosed properties in these states.

Foreclosure Activity in PA and NJ: The Numbers

According to Attom, a real estate data provider, foreclosure activity in PA and NJ has increased significantly in 2022, compared to 2021. Foreclosure activity includes default notices, scheduled auctions, or bank repossessions.

In October 2022, PA had 175 completed foreclosures, up from 70 in October 2021. NJ had 72 completed foreclosures, up from 69 in October 2021. These numbers are still below the pre-pandemic levels, but they show a rising trend.

Foreclosure starts, which is the first step in the foreclosure process, also increased in both states. In October 2022, PA had 1,016 foreclosure starts, up from 362 in October 2021. NJ had 1,180 foreclosure starts, up from 433 in October 2021.

NJ had the third-highest rate of foreclosure activity in the country in October 2022, with one in every 3,438 housing units having a foreclosure filing. PA had a lower rate of one in every 6,675 housing units, but it was still above the national average of one in every 8,675 housing units.

Foreclosure Activity in PA and NJ: The Reasons

The main reason for the increase in foreclosure activity is the end of the federal foreclosure moratorium that was implemented during the pandemic. The moratorium covered about 70% of the nation’s mortgages and about 80% of Philadelphia’s home loans. It expired on July 31, 2021.

Other policies that prevented lenders from starting the foreclosure process will also expire at the end of 2021. These include forbearance plans that allowed homeowners to delay mortgage payments during the pandemic. According to Attom, about 1.5 million homeowners are still in forbearance as of November 2021.

Most of the foreclosure activity in PA and NJ is on vacant and abandoned properties or loans that were in foreclosure before the pandemic. However, some homeowners who exit forbearance may face difficulties resuming their payments or modifying their loans. This could lead to more foreclosures in the future.

Foreclosure Activity in PA and NJ: The Tips

If you are interested in buying or selling foreclosed properties in PA and NJ, here are some tips and resources to help you:

– Find foreclosed properties on websites like Zillow, RealtyTrac, or Attom. You can filter by location, price range, property type, and foreclosure status.
– Research the property’s history, condition, title, liens, and legal status before making an offer. You can use public records, online databases, or professional services to get this information.
– Be prepared to deal with competition, delays, and uncertainties when buying a foreclosed property. You may face multiple offers, cash buyers, or bidding wars. You may also encounter legal issues, inspection problems, or repair costs.
– Hire a real estate agent who has experience with foreclosed properties. They can help you find the best deals, negotiate with lenders or sellers, handle paperwork, and close the deal.
– Be aware of your rights and responsibilities as a seller of a foreclosed property. You may have to disclose certain information about the property’s condition, defects, or history. You may also have to comply with state laws regarding redemption periods, notice requirements, or eviction procedures.

Foreclosure Activity in PA and NJ: The Conclusion

The foreclosure market in PA and NJ has changed a lot in the past year due to the end of the pandemic-related policies that protected homeowners from losing their homes. Foreclosure activity has increased significantly in both states, especially on properties that were already in distress before the pandemic.

This creates challenges and opportunities for real estate agents who want to buy or sell foreclosed properties. To succeed in this market, you need to do your research, be prepared, and work with a professional who knows how to handle foreclosures.

We hope this blog post has given you some useful information and tips on the foreclosure market in PA and NJ. If you have any questions or comments, please feel free to contact us at 267-249-6572 or on email at FBuonoinc@gmail.com.

Top 5 Tips with Websites for the Reader to Reference:

– Find foreclosed properties on websites like Zillow, RealtyTrac, or Attom.
– Research the property’s history, condition, title, liens, and legal status before making an offer.
– Be prepared to deal with competition, delays, and uncertainties when buying a foreclosed property.
– Hire a real estate agent who has experience with foreclosed properties.
– Be aware of your rights and responsibilities as a seller of a foreclosed property.