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National Association of Realtors agrees to slash commissions
The National Association of Realtors (NAR) announced a court settlement Friday that would bring major changes to home sales – and savings to home sellers nationwide.
LOS ANGELES - According to a recent real estate data provider ATTOM report, home foreclosures rose in February amid ongoing cost-of-living challenges for Americans.
The report revealed 32,938 properties with foreclosure filings, encompassing default notices, scheduled auctions, and bank repossessions. This marks an 8% increase from the previous year, albeit a 1% decrease from the prior month.
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ATTOM CEO Rob Barber noted, "The annual rise in U.S. foreclosure activity suggests shifting dynamics within the housing market." This trend signals potential changes in financial landscapes for homeowners, prompting adjustments in market strategies and lending practices.
Despite the uptick in foreclosure filings, foreclosure completions decreased in 28 states during February. Lenders repossessed 3,397 properties, reflecting a 14% decline from the previous month and an 11% decrease from the previous year. The most significant declines occurred in Georgia, where completed foreclosures fell by 52%, and in New York, with a decline of 41%.
RELATED: Home buyers need to make $47,000 more than in 2020 to afford a home
Foreclosures surged in these states
In South Carolina, foreclosures surged 51%, while Missouri saw a 50% jump and Pennsylvania a 46% increase. Foreclosures in Texas rose 7%, and in Indiana they climbed 0.8%.
What to know about housing prices in 2024
Housing affordability has reached its lowest point in decades due to a surge in home prices and mortgage rates. According to Zillow, the national average salary required for homeownership has skyrocketed to $106,500, a staggering 61% increase from just four years ago.
RELATED: How the NAR settlement could lower home prices
There are multiple factors contributing to this affordability crisis. Freddie Mac reported that the average rate for a 30-year fixed loan has risen to 6.74% this week, significantly surpassing the pandemic-era lows of 3%. Despite this sharp increase in mortgage rates, home prices have remained largely unchanged compared to three years ago.
FOX Business contributed to this story.