Black Knight: 1st Time, Repeat Foreclosure Starts at 12-Month High
The latest mortgage monitor from Black Knight Financial Services shows that both first-time and repeat foreclosure starts reached 12-month highs, although there was clear separation in the levels of increase between the two.
Separation also continues to be seen between judicial and non-judicial foreclosure states across multiple performance indicators,” according to Trey Barnes, Black Knight’s senior vice president of Loan Data Products.
“Overall foreclosure starts hit a 12-month high in January, and that held true when looking at both first-time and repeat foreclosure starts individually,” Barnes said. “Repeat foreclosure starts made up 51% of all foreclosure starts and increased 11% from December. In contrast, first-time foreclosure starts were up just a fraction of a% from the month prior.”
Black Knight found that January foreclosure starts jumped about 10% from December in judicial states as compared to just a 1.7% increase in non-judicial states. Judicial states are also seeing higher levels of both new problem loans and serious delinquencies (loans 90 or more days delinquent, but not yet in foreclosure) than non-judicial states, although volumes are down overall in both categories.