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Equity Rich Properties Represent 25.7% Of U.S. Properties

ATTOM Data Solutions released its Q3 2018 U.S. Home Equity & Underwater Report, which shows that in the third quarter of 2018, nearly 14.5 million U.S. properties were equity rich — where the combined estimated amount of loans secured by the property was 50 percent or less of the property’s estimated market value — up by more than 433,000 from a year ago to a new high as far back as data is available, Q4 2013.


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The 14.5 million equity rich properties in Q3 2018 represented 25.7 percent of all properties with a mortgage, up from 24.9 percent in the previous quarter but down from 26.4 percent in Q3 2017.


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The report also shows more than 4.9 million U.S. properties were seriously underwater — where the combined estimated balance of loans secured by the property was at least 25 percent higher than the property’s estimated market value, representing 8.8 percent of all U.S. properties with a mortgage. That 8.8 percent share of seriously underwater homes was down from 9.3 percent in the previous quarter but still up from 8.7 percent in Q3 2017.


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“As homeowners stay put longer, they continue to build more equity in their homes despite the recent slowing in rates of home price appreciation,” said Daren Blomquist, senior vice president with ATTOM Data Solutions. “West coast markets along with New York have the highest share of equity rich homeowners while markets in the Mississippi Valley and Rust Belt continue to have stubbornly high rates of seriously underwater homeowners when it comes to home equity.”

About The Author

Tony Garritano

Tony Garritano is chairman and founder at PROGRESS in Lending Association. As a speaker Tony has worked hard to inform executives about how technology should be a tool used to further business objectives. For over 10 years he has worked as a journalist, researcher and speaker in the mortgage technology space. Starting this association was the next step for someone like Tony, who has dedicated his career to providing mortgage executives with the information needed to make informed technology decisions. He can be reached via e-mail at tony@progressinlending.com.

ATTOM Migrates Its Property Database To The Cloud

ATTOM Data Solutions and Managed Microsoft Partner Denny Cherry & Associates Consulting (DCAC) jointly announced the successful completion of a 50 Terabyte migration to Microsoft’s Azure platform. The engagement included:


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>>Consolidation of multiple legacy SQL Server databases

>>Migration to Azure

>>Conversion to SSIS catalogued project model

>>Sizing and choosing the correct VM for the Azure environment.


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Post migration, ATTOM Chief Technology Officer Todd Teta estimates the company is now saving 30% of their budget on infrastructure.

ATTOM’s Chief Data Officer Richard Sawicky commented, “We now have the flexibility to scale, expand, and consolidate all of our operations and be nimble as we take on new projects, new datasets, and better serve our customers on a modern platform capable of enrolling a lot of the Azure functionality.


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DCAC principal and Microsoft MVP Joey D’Antoni commented, “The ATTOM migration was quite challenging as there were lot of moving pieces. Richard and I worked really hard to ensure we had a solid checklist for migration, and outside of a single small error we saw immediately after migration, the process was seamless.”

“There were a ton of moving parts, and Joey D’Antoni and Denny Cherry were there to quarterback us through it all,” Sawicky added.  “There is no way that we would be sitting here 100% in Azure without those guys.”

U.S. Foreclosure Activity Increases 9 Percent In August 2018 From Previous Month

According to data from ATTOM Data Solutions, there were 70,166 U.S. properties with foreclosure filings in August 2018, up 9 percent from July but still down 7 percent from a year ago. Nationally one in every 1,910 U.S. properties had a foreclosure filing in August 2018, according to the report.

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States with the highest foreclosure rates in August were New Jersey (one in every 690 housing units); Maryland (one in every 918 housing units); Nevada (one in every 984 housing units); Delaware (one in every 1,012 housing units); and Florida (one in every 1,229 housing units).

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Among 291 metropolitan statistical areas with at least 200,000 people, those with the highest foreclosure rates in August were Atlantic City, New Jersey (one in every 354 housing units); Fayetteville, North Carolina (one in every 444 housing units); Trenton, New Jersey (one in every 546 housing units); Columbia, South Carolina (one in every 807 housing units); and Bakersfield, California (one in every 864 housing units).

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Among 53 metro areas with at least 1 million people, those with the highest foreclosure rates in August were Baltimore, Maryland (one in every 871 housing units); Philadelphia, Pennsylvania (one in every 887 housing units); Las Vegas, Nevada (one in every 891 housing units); Jacksonville, Florida (one in every 982 housing units); and Cleveland, Ohio (one in every 1,012 housing units).

Highest-Risk Cities for Floods, Hurricanes And Wildfires Underperformed Overall Market

ATTOM Data Solutions released its 2018 U.S. Natural Hazard Housing Risk Index, which found that median home prices in cities with the top 80th percentile for natural hazard housing risk have appreciated 40 percent on average over the last 10 years — 1.7 times the 24 percent home price appreciation in the overall U.S. housing market during the same time period.

For the report ATTOM indexed natural hazard risk in more than 3,000 counties and more than 22,000 U.S. cities based on the risk of six natural disasters: earthquakes, floods, hail, hurricane storm surge, tornadoes, and wildfires. ATTOM also analyzed housing trends in 2,616 cities and 440 counties — containing more than 53 million single family homes and condos — broken into five equal quintiles of natural hazard housing risk.

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“While combined natural disaster risk has not seemed to hobble home price appreciation over the past decade, the story is much different for some individual hazard risks — namely flood, hurricane storm surge and wildfire risk,” said Daren Blomquist, senior vice president at ATTOM Data Solutions. “Home price appreciation in the overall U.S. housing market was double the rate of appreciation in cities with the highest flood risk and triple the rate of appreciation in cities with the highest hurricane storm surge risk over the past 10 years. The broader market has also outperformed appreciation in cities with the highest wildfire risk during the last decade, although the gap is much narrower.”

Foreclosure rates elevated in highest-risk flood cities

Foreclosure rates were lower in cities in the top 80th percentile for natural hazard housing risk, and this was true for all individual natural hazard risk types except for flood risk. In cities in the top 80th percentile for flood risk, active foreclosures represented 0.61 percent of all properties, well above the foreclosure rate of 0.38 percent across all risk categories.

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“Weather is the largest external swing factor in U.S. economics and accounts for over $550 billion per year in lost revenue and up to 76,000 lost jobs,” said Mark Gibbas, president and CEO at WeatherSource, a technology company that provides global weather and climate data along with advanced analytics. “Weather can have an enormous impact on homeowners and the housing market.  When big weather events such as hurricanes, tornados and hail hit, many homeowners suffer financial hardship from various sources such as lost wages and losses due to inadequate insurance. And while the impact on homeowners can be severe, hurricanes like Harvey can change the landscape of the housing market region wide, including shifts in the number of available homes and shifts in home values.”

Cities with the highest flood risk also posted seriously underwater rates (loan-to-value ratio of 125 percent or higher) above the overall market average — 8.9 percent of all homes with a mortgage compared to 8.5 percent nationwide. Tornado risk was the only other individual natural hazard risk factor with seriously underwater rates above the market average in the highest risk cities — 10.0 percent of all homes with a mortgage.

Buyers paid a premium for homes in highest-risk cities in 2018

The report also shows that homebuyers so far in 2018 paid an average 1.0 percent premium above estimated market value for homes in cities with the highest natural disaster risk while homes in cities with the lowest natural disaster risk sold at an average 3.7 percent discount below estimated market value.

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The exception to this trend was in cities with the highest flood risk, where homes sold at an average 2.4 percent discount below estimated market value, cities with the highest tornado risk (2.2 percent discount below estimated market value), and cities with the highest hurricane storm surge risk (1.4 percent discount below estimated market value).

Counties and cities with highest natural hazard risk index

Among the 2,616 cities analyzed in the report with sufficient housing trend data, those with the top 20 highest natural hazard housing risk indexes were all located in the following metropolitan statistical areas: Oklahoma City, Oklahoma; San Diego, California; Clearlake, California; San Jose, California; Madera, California; Riverside-San Bernardino, California, Bakersfield, California; Houston, Texas, Santa Cruz, California; and Huntsville, Alabama.

Among the 440 counties analyzed in the report with sufficient housing trend data, those with the highest natural hazard housing risk indexes were Oklahoma County, Oklahoma (Oklahoma City); Monroe County, Florida (Key West); Santa Cruz County, California (Santa Cruz); Santa Clara County, California (San Jose); and Marin County, California (San Francisco).

Among those same 440 counties, those with the lowest natural hazard housing risk indexes were Milwaukee County, Wisconsin (Milwaukee); Muskegon County, Michigan (Muskegon); Cuyahoga County, Ohio (Cleveland); Kenosha County, Wisconsin (Chicago metro); and Monroe County, New York (Rochester).

Index Methodology

For its fifth annual Natural Hazard Housing Risk Index, ATTOM Data Solutions indexed more than 3,000 U.S. counties and more than 22,000 U.S. cities based on risk of six natural disasters: earthquakes, floods, hail, hurricane storm surge, tornadoes and wildfires. ATTOM also analyzed home sales and price trends in 440 counties and 2,616 cities with sufficient property data.

A risk index was created for each of the six natural hazards in each city and count with natural hazard data available. Each natural hazard index was divided into five categories of risk: Very High, High, Moderate, Low and Very Low based on a severity scale. Those six natural hazard indexes were summed to create a Total Natural Hazard Index. The maximum index for each category of risk is 60, and the maximum possible total index score is 360.

For the home sales and price trends analysis, the indexes in 735 counties and 3,441 cities were split into five equal groups (quintiles) matching the aforementioned five categories of risk.

Flood zone data is based on flood zones created by the Federal Emergency Management Agency (FEMA), and the level of risk was based on the percentage of homes in each county located in high-risk flood zones: A, A99, AE, AH, A.

Earthquake data is from the United States Geological Survey (USGS), and the level of risk was based on the probability of a magnitude 5.0 earthquake in each county.

Tornado data is from the National Oceanic and Atmospheric Administration (NOAA), and level of risk was based on the Destruction Potential Index (DPI) for each county. DPI is calculated using number of tornados, path of tornados in square miles, and intensity of tornados on the Fujita scale (FO to F5).

Wildfire data is from the United States Department of Agriculture Forest Service and Fire Modeling Institute, and risk level is based on the percentage of homes in each county located in “Very High” or “High” Wildfire Hazard Potential (WHP) areas.

Hurricane storm surge data is from FEMA and the National Hurricane Center (NHC), and risk level is based on the percentage of homes located in flood zones identified as having a risk of “storm-induced waves”: V and VE.

Hail data is from NOAA and the risk level is based on the average number of hail storms per year in each county with hail that exceeds 1-inch in size over the past 15 years.

ATTOM Data Solutions Integrates Enhanced Boundary Data

ATTOM Data Solutions has integrated expanded boundary data into its U.S. property data warehouse. The expanded boundary data features parcel boundaries for 155 million U.S. parcels along with school attendance zone boundaries for more than 67,000 schools in more than 13,000 school districts and neighborhood boundaries for more than 166,000 neighborhoods.

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“Boundary data is a useful and often necessary complement to the foundational tax, deed, mortgage and neighborhood data in the ATTOM Data Warehouse,” said Rob Barber, CEO of ATTOM Data Solutions. “We’ve made some key strategic moves over the past few months to obtain the best boundary data available and fully integrate it into our data warehouse so that we can provide a one-stop shop for clients that want to combine these datasets.”

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The parcel boundary data is available in a bulk file format adhering to the industry standard ESRI shape data. ATTOM offers two versions of the parcel boundary data: An Essential version that includes the shape file data for the parcel boundaries along with basic tax assessor information for each parcel; and the Plus version with additional assessor information for each parcel including beds, baths, square footage, year built, lot size, most recent sale date and amount, and much more.

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“We’ve included basic assessor property data in our standard parcel boundary file because most use cases benefit from some level of assessor data,” said Todd Teta, chief technology officer at ATTOM Data Solutions. “We also include our unique ATTOM ID for every parcel so that additional data from the ATTOM Data Warehouse such as sales history, mortgage and foreclosure data, or natural hazard risk can easily be joined with the parcel boundaries.”

About The Author

Tony Garritano

Tony Garritano is chairman and founder at PROGRESS in Lending Association. As a speaker Tony has worked hard to inform executives about how technology should be a tool used to further business objectives. For over 10 years he has worked as a journalist, researcher and speaker in the mortgage technology space. Starting this association was the next step for someone like Tony, who has dedicated his career to providing mortgage executives with the information needed to make informed technology decisions. He can be reached via e-mail at tony@progressinlending.com.

Home Prices Less Affordable Than Historic Averages

ATTOM Data Solutions released its Q2 2018 U.S. Home Affordability Report, which shows that the U.S. home prices in the first quarter were at the least affordable level since Q3 2008.

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The report calculates an affordability index based on percentage of income needed to buy a median-priced home relative to historic averages, with an index above 100 indicating median home prices are more affordable than the historic average, and an index below 100 indicating median home prices are less affordable than the historic average.

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Nationwide, the Q2 2018 home affordability index of 95 was down from an index of 102 in the previous quarter and an index of 103 in Q2 2017 to the lowest level since Q3 2008, when the index was 86.

“Slowing home price appreciation in the second quarter was not enough to counteract an 11 percent increase in mortgage rates compared to a year ago, resulting in the worst home affordability we’ve seen in nearly 10 years,” said Daren Blomquist, senior vice president at ATTOM Data Solutions. “Meanwhile home price appreciation continued to outpace wage growth, speeding up the affordability treadmill for prospective homebuyers even without the rise in mortgage rates.”

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Home prices rising faster than wages in 64 percent of local markets

Nationwide the median home price of $245,000 in Q2 2018 was up 4.7 percent from a year, down from 7.4 percent appreciation in the first quarter but still above the average weekly wage growth of 3.3 percent. Since bottoming out in Q1 2012, median home prices nationwide have increased 75 percent while average weekly wages have increased 13 percent during the same period.

Annual growth in median home prices outpaced average wage growth in 275 of the 432 counties analyzed in the report (64 percent), including Los Angeles County, California; Maricopa County (Phoenix), Arizona; San Diego County, California; Orange County, California; and Miami-Dade County, Florida.

Lowest home affordability indexes in Flint, Denver, Santa Fe, Nashville

Counties with the lowest home affordability indexes in Q2 2018 were Genesee County (Flint), Michigan (70); Denver County, Colorado (72); Adams County (Denver area), Colorado (73); Santa Fe County, New Mexico (73); and Wilson County (Nashville area), Tennessee (75).

Among 40 counties with a population of at least 1 million, those with the lowest home affordability indexes in Q2 2018 were Travis County (Austin), Texas (77); Alameda County (San Francisco area), California (81); Santa Clara County (San Jose), California (82); Oakland County (Detroit area), Michigan (82); and San Francisco County, California (83).

Highest share of income needed to buy a home in Bay Area, Brooklyn

Nationwide an average wage earner would need to spend 31.2 percent of his or her income to buy a median-priced home in Q2 2018, above the historic average of 29.6 percent.

Counties with median home prices requiring the highest share of average wage earner income were Marin County (San Francisco area), California (133.2 percent); Kings County (Brooklyn), New York (123.1 percent); Santa Cruz County, California (121.5 percent); Monterey County (Salinas), California (100.3 percent); and San Francisco County, California (97.2 percent).

Counties with median home prices requiring the lowest share of average wage earner income were Wayne County (Detroit), Michigan (13.5 percent); Clayton County, Georgia (13.7 percent); Rock Island (Quad Cities), Illinois (15.8 percent); Saginaw County, Michigan (16.4 percent); and Richmond County (Augusta), Georgia (16.4 percent).

Median home prices not affordable for average wage earners in 75 percent of local markets

An average wage earner would not qualify to buy a median-priced home in 326 of the 432 counties (75 percent) analyzed in the report based on a 3 percent down payment and a maximum front-end debt-to-income ratio of 28 percent.

Counties where an average wage earner could not afford to buy a median-priced home in Q2 2018 included Los Angeles County, California; Cook County (Chicago), Illinois; Maricopa County (Phoenix), Arizona; San Diego County, California; and Orange County, California.

Home Equity Growth Slows

Data shows that at the end of the first quarter of 2018, more than 5.2 million (5,206,446) U.S. properties were seriously underwater (where the combined balance of loans secured by the property was at least 25 percent higher than the property’s estimated market value), down by more than 291,000 properties from a year ago — the smallest year-over-year drop since ATTOM Data Solutions began tracking in Q1 2013.

The 5.2 million seriously underwater properties at the end of Q1 2018 represented 9.5 percent of all U.S. properties with a mortgage, up from 9.3 percent in the previous quarter but down from 9.7 percent in Q1 2017.

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“We’ve reached a tipping point in this housing boom where enough homeowners have regained both sufficient equity and sufficient confidence to tap into their home equity — resulting in a noticeably slower decline in seriously underwater properties and slower growth in equity rich properties,” said Daren Blomquist, senior vice president at ATTOM Data Solutions. “This tapping of equity could take the form of a cash-out refinance, home equity loan or simply a home sale. We saw the biggest quarterly drop in average homeownership tenure for homeowners who sold in the first quarter since Q4 2008, evidence that more homeowners are reaching that equity-tapping tipping point more quickly and deciding to sell.”

More than 19.5 million (19,513,871) U.S. properties had between 20 and 50 percent equity (LTV of between 80 and 50 percent) at the end of Q1 2018, down by 1,714,099 from a year ago, an 8 percent decrease.

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Homes with 20 to 50 percent equity represented 36.1 percent of all properties with a mortgage as of the end of Q1 2018, down from 36.3 percent in the previous quarter and down from 37.6 percent in Q1 2017.

Equity rich properties represent one in four properties with a mortgage

More than 13.8 million (13,841,082) U.S. properties with a mortgage were equity rich at the end of Q1 2018, up by more than 122,000 from a year ago but still down from a peak of more than 14 million equity rich properties in Q2 2017.

The 13.8 million equity rich properties represented 25.3 percent of all U.S. properties with a mortgage, down from 25.4 percent in the previous quarter but still up from 24.3 percent in Q1 2017.

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Highest share of equity rich properties in coastal California, Honolulu, Seattle

States with the highest share of equity rich homes were Hawaii (41.6 percent); California (41.5 percent); New York (34.8 percent); Washington (33.1 percent); and Oregon (31.8 percent).

Among 98 metropolitan statistical areas with a population of at least 500,000, those with the highest share of equity rich homes were San Jose, California (66.1 percent); San Francisco, California (56.0 percent); Los Angeles, California (45.4 percent); Honolulu, Hawaii (43.1 percent); and Seattle, Washington (39.1 percent).

Highest share of seriously underwater properties in Scranton, Baton Rouge, Youngstown

States with the highest share of seriously underwater homes at the end of Q1 2018 were Louisiana (20.1 percent); Mississippi (18.0 percent); Iowa (17.2 percent); West Virginia (15.9 percent); and Illinois (15.9 percent).

Among 98 metropolitan statistical areas with a population of at least 500,000, those with the highest share of seriously underwater homes at the end of Q1 2018 were Scranton, Pennsylvania (21.9 percent); Baton Rouge, Louisiana (19.9 percent); Youngstown, Ohio (19.5 percent); New Orleans, Louisiana (18.5 percent); and Toledo, Ohio (18.0 percent).

Along with New Orleans, among 51 metro areas with at least 1 million people, those with more than 13 percent of seriously underwater properties were Cleveland, Ohio (16.5 percent); Milwaukee, Wisconsin (16.0 percent); St. Louis, Missouri (14.7 percent); Chicago, Illinois (13.8 percent); Detroit, Michigan (13.6 percent); Virginia Beach, Virginia (13.4 percent); and Kansas City, Missouri (13.4 percent).

Tony Garritano

Tony Garritano is chairman and founder at PROGRESS in Lending Association. As a speaker Tony has worked hard to inform executives about how technology should be a tool used to further business objectives. For over 10 years he has worked as a journalist, researcher and speaker in the mortgage technology space. Starting this association was the next step for someone like Tony, who has dedicated his career to providing mortgage executives with the information needed to make informed technology decisions. He can be reached via e-mail at tony@progressinlending.com.

Most Home Prices Are Now Above Pre-Recession Peaks

Data from ATTOM Data Solutions shows that median home prices in 57 of 105 metropolitan statistical areas analyzed in the report (54 percent) were above their pre-recession home price peaks in the first quarter.

Nationwide the median home price of $240,000 in Q1 2018 was less than 1 percent below its pre-recession peak of $241,500 in Q3 2005, but still up 9.1 percent from a year ago. Metro areas with Q1 2018 median home prices the furthest above their pre-recession peaks were Houston, Texas (69 percent above); Dallas-Fort Worth, Texas (67 percent above); Denver, Colorado (62 percent above); San Jose, California (60 percent above); and San Antonio, Texas (57 percent above).

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Other major metros with at least 1 million people and with Q1 2018 median home prices at least 30 percent above pre-recession peaks were Nashville, Tennessee (46 percent above); Austin, Texas (45 percent above); Salt Lake City, Utah (42 percent above); Raleigh, North Carolina (35 percent above); Indianapolis, Indiana (31 percent above); and Oklahoma City, Oklahoma (30 percent above).

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“Rising interest rates and recently enacted tax reform that removed some tax incentives for homeownership were not enough to cool off red-hot home price appreciation in many parts of the country, with 30 of the 105 local markets analyzed posting double-digit gains in median home prices in the first quarter,” said Daren Blomquist, senior vice president at ATTOM Data Solutions. “Home prices are still below pre-recession peaks in 46 percent of local markets, but nearly one-third of even those markets posted double-digit home price appreciation in the first quarter.”

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Median home prices in 48 of the 105 metro areas analyzed in the report (46 percent) were still below pre-recession peaks in Q1 2018, led by Bridgeport-Stamford-Norwalk, Connecticut (25 percent below); New Haven, Connecticut (22 percent below); Allentown, Pennsylvania (21 percent below); Philadelphia, Pennsylvania (20 percent below); and Hartford, Connecticut (19 percent below).

Along with Philadelphia and Hartford, other major metros with at least 1 million people and with Q1 2018 median home prices at least 15 percent below pre-recession peaks were Chicago, Illinois (19 percent below); Baltimore, Maryland (17 percent below); Tucson, Arizona (16 percent below); Las Vegas, Nevada (16 percent below); and New York-Newark-Jersey City (15 percent below).

The Foreclosure Rate Declines By 19%

Data from ATTOM Data Solutions shows shows a total of 189,870 U.S. properties with a foreclosure filing during the first quarter of 2018, up 4 percent from the previous quarter but still down 19 percent from a year ago and 32 percent below the pre-recession average of 278,912 per quarter from Q1 2006 to Q3 2007 — the sixth consecutive quarter where U.S. foreclosure activity has been below its pre-recession quarterly average.

The report also shows a total of 74,341 U.S. properties with foreclosure filings in March 2018, up 21 percent from an all-time low in the previous month but still down 11 percent from a year ago — the 30th consecutive month with a year-over-year decrease in U.S. foreclosure activity.

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An analysis of foreclosure activity by loan origination year shows that 45 percent of all properties in foreclosure as of the end of the first quarter were tied to loans originated between 2004 and 2008, down from 50 percent as of the end of Q4 2017 and down from 51 percent as of the end of Q1 2017.

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“Less than half of all active foreclosures are now tied to loans originated during the last housing bubble, one of several data milestones in this report showing that the U.S. housing market has mostly cleared out the backlog of bad loans that triggered the housing and financial crisis nearly a decade ago,” said Daren Blomquist, senior vice president at ATTOM Data Solutions. “Meanwhile we are beginning to see early signs that some post-recession loan vintages are defaulting at a slightly elevated rate, a sign that some loosening of lending standards has occurred in recent years. Consequently, foreclosure starts are trending higher compared to a year ago in an increasing number of local markets — some of which are a bit surprising given the overall strength of housing in those markets.”

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A total of 92,703 U.S. properties started the foreclosure process in Q1 2018, up 8 percent from the previous quarter but still down 10 percent from a year ago — the 11th consecutive quarter with a year-over-year decrease in U.S. foreclosure starts.

Counter to the national trend, 82 of 219 metropolitan statistical areas analyzed in the report (37 percent) posted year-over-year increases in foreclosure starts in the first quarter, up from 20 percent of markets posting year-over-year increases in foreclosure starts in Q1 2017.

Twenty-three of 53 metropolitan statistical areas with at least 1 million people (43 percent) posted a year-over-year increase in foreclosure starts in the first quarter, led by Indianapolis, Indiana.

Data: Property Taxes Are On The Rise

ATTOM Data Solutions released its 2017 property tax analysis for more than 86 million U.S. single family homes, which shows that property taxes levied on single family homes in 2017 totaled $293.4 billion, up 6 percent from $277.7 billion in 2016 and an average of $3,399 per home — an effective tax rate of 1.17 percent.

The average property taxes of $3,399 for a single family home in 2017 was up 3 percent from the average property tax of $3,296 in 2016, and the effective property tax rate of 1.17 percent in 2017 was up from the effective property tax rate of 1.15 percent in 2016.

The report analyzed property tax data collected from county tax assessor offices nationwide at the state, metro and county levels along with estimated market values of single family homes calculated using an automated valuation model (AVM). The effective tax rate was the average annual property tax expressed as a percentage of the average estimated market value of homes in each geographic area.

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States with the highest effective property tax rates were New Jersey (2.28 percent), Illinois (2.22 percent), Vermont (2.19 percent), Texas (2.15 percent), and New Hampshire (2.06 percent).

Other states in the top 10 for highest effective property tax rates were Pennsylvania (2.02 percent), Connecticut (1.99 percent), New York (1.92 percent), Ohio (1.72 percent), and Wisconsin (1.67 percent).

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Among 217 metropolitan statistical areas analyzed in the report with a population of at least 200,000, those with the highest effective property tax rates were Scranton, Pennsylvania (3.93 percent); Binghamton, New York (3.14 percent); Rockford, Illinois (3.03 percent); Rochester, New York (2.93 percent); and El Paso Texas (2.63 percent).

Out of the 217 metropolitan statistical areas analyzed in the report, 125 (58 percent) posted an increase in average property taxes above the national average of 3 percent, including Los Angeles (7 percent increase), Dallas (11 percent increase), Houston (10 percent increase), Philadelphia (4 percent increase), and Miami (5 percent increase).

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Other major markets posting an increase in average property taxes that was above the national average were Atlanta (up 4 percent), Boston (up 5 percent), San Francisco (up 6 percent), Riverside-San Bernardino (up 5 percent), and Seattle (up 6 percent).

States with the lowest effective property tax rates were Hawaii (0.34 percent); Alabama (0.49 percent); Colorado (0.51 percent); Tennessee (0.56 percent); and West Virginia (0.57 percent). Other states in the top 10 for lowest effective property tax rates were Utah (0.58 percent), Delaware (0.61 percent), South Carolina (0.66 percent), Arkansas (0.68 percent), and Arizona (0.68 percent).

Among the 217 metro areas analyzed for the report, those with the lowest effective property tax rates were Honolulu (0.33 percent); Montgomery, Alabama (0.36 percent); Tuscaloosa, Alabama (0.41 percent); Colorado Springs, Colorado (0.42 percent); and Greeley, Colorado (0.45 percent).