Are sellers aiming too high? Price cuts abound throughout the United States

Are sellers aiming too high? Price cuts abound throughout the United States

THE NEWS: More than half of sellers lowered their asking prices last month in three major U.S. cities as some of America’s once-hottest housing markets were hit especially hard by the ongoing slowdown in real estate. Nearly 62 percent of houses for sale in Boise, Idaho, had a price drop in June, the most dramatic figure recorded in any major U.S. metro, Redfin disclosed in a new report. Price drops hit 55 percent of homes in Denver and 52 percent of homes in Salt Lake City, the report reveals.

BEHIND THE NEWS: The latest numbers reveal how the ongoing cooldown of the housing market has affected sellers, many of whom have found in recent weeks that their initial asking price overshot the actual amount for which their home could quickly sell. For many buyers, today’s higher mortgage rates make these all-time high sale prices a tough pill to swallow — especially amid this uncertain economic environment.Read the full story here.

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After a decade of declines, foreclosure activity is on the rise

THE NEWS: After more than a decade of declines that sent foreclosure activity to a historic low point, the number of properties at some point in the foreclosure process is on the rise this year. There have been a total of 164,581 properties with either a default notice, a scheduled auction or under a bank repossession, according to a report from Attom Data Solutions released Thursday.

The nation is on track for its first annual increase of foreclosed properties since 2010, a year that marked the beginning of a long downward trend that appears to have bottomed out last year.

BEHIND THE NEWS: Congress enacted a foreclosure moratorium in the early days of the pandemic, preventing foreclosure activity on federally backed mortgages. The moratorium was extended through July 2021, contributing to the dearth of foreclosures and related evictions. During that time homeowners also benefited from a meteoric rise in home prices, offering another source of protection from foreclosure through equity.

During the first six months of this year 96 percent of major metro areas saw an increase in foreclosure activity, according to Attom. Rates are highest in Illinois, New Jersey and Ohio. Read the full story here.