Foreclosure rates in Connecticut and New York recorded a sharp year-over-year decline during the third quarter of this year, according to statistics released by ATTOM Data Solutions.
Connecticut recorded 322 foreclosures during the third quarter, roughly one foreclosure for every 4,697 homes. That represents a 33.74% decline from the second quarter and an 85.56% drop from the third quarter of 2019. Connecticut’s pre-recession foreclosure average was 2,445, and the latest data is an 87% plummet from that level.
Across the border, New York recorded 1,193 foreclosures during the third quarter, roughly one foreclosure for every 6,946 homes. While that marked a 68.74% increase from the second quarter, it is also an 86.35% year-over-year decline. New York’s pre-recession foreclosure average was 8,831, and the latest data is an 86% tumble from that level.
However, ATTOM said, the downward foreclosure motion might soon shift into a rapid ascent in the near future.
“Foreclosure activity has, for all intents and purposes, ground to a halt due to moratoria put in place by the federal, state and local governments and the mortgage forbearance program initiated by the CARES Act,” said Rick Sharga, executive vice president of RealtyTrac, an ATTOM Data company. “But it’s important to remember that the numbers we’re seeing today are artificially low, even as the number of seriously delinquent loans continues to increase, and that we’ll see a significant – and probably quite sudden – burst of foreclosure activity once these various government programs expire.”