Foreclosures remain low, for now

Although mortgage delinquencies continue to rise, foreclosures remain low due to the moratoriums put. in place by federal and state governments in the early stages of the pandemic. This mortgage forbearance has a maximum of 12 months so it’s unlikely there will be a significant increase in foreclosures until then.

Of course, a great deal will depend on the economy, and if homeowners are able to return to work. Still, analysts don’t believe the foreclosure rate will approach the levels of the Great Recession. They also don’t believe it will be enough for housing prices to significantly drop.

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