Get the latest Phoenix real estate update and debunk foreclosure myths with our in-depth analysis. Stay informed on the market trends with our YouTube channel.
The internet is filled with content about the housing market, but not all of it is reliable. In fact, many self-proclaimed experts use exaggerated claims and shock tactics to gain views and subscribers. Don't be swayed by these sensationalized pronouncements. Instead, let's dive deep into the Phoenix real estate market, focusing on foreclosures and the factors influencing them.
For over a decade, some have been predicting a massive wave of foreclosures. While it's true that foreclosures occurred in large numbers between 2006 and 2011, the current market landscape shows a different story. To truly understand the situation, it's important to analyze actual foreclosure data with intelligence and insight.
The COVID pandemic led to a moratorium on foreclosures for occupied residences, causing foreclosure numbers to drop significantly. However, contrary to some predictions, the end of the moratorium did not result in an explosion of foreclosures. In fact, foreclosure rates remain quite low compared to long-term averages.
It's crucial to differentiate between pending foreclosures and actual foreclosures. Pending foreclosures, or Notices of Trustee Sale, are properties that have not yet been through a Trustee Sale. The majority of these pending foreclosures are eventually canceled, as borrowers find ways to catch up on their loans or sell their homes to pay off the mortgage.
Historically, foreclosure levels below 5,000 are considered low, while levels between 5,000 and 10,000 are normal, and levels above 10,000 are high. In 2019, Maricopa County saw around 2,000 to 2,200 pending foreclosures, which was the lowest level recorded. Pending foreclosures currently remain significantly below normal levels, showing no signs of an imminent foreclosure wave.
Monitoring delinquency rates is crucial for understanding the likelihood of a foreclosure wave. Companies like Core-Logic compile lenders' loan performance reports, which can serve as early warnings for potential foreclosure surges. As of now, these reports do not indicate any cause for concern.
In conclusion, the Phoenix real estate market does not show any signs of an impending foreclosure crisis. Stay informed by keeping an eye on the data and subscribing to our YouTube channel for reliable, up-to-date information. If you have questions or concerns about the Phoenix housing market, don't hesitate to contact us and check our Google reviews. Our team is here to provide you with the knowledge and guidance you need to make informed decisions in the ever-changing real estate landscape.
Note: source of content is from the Cromford Report © and Case-Schiller ®BACK TO LIST