Ready to buy a home? Watch out for this affect of inflation

FeaturedHome BuyingMoney

Written by:

 

While the inflation rate doesn’t directly impact mortgage rates, the two tend to move in tandem. Rising inflation can shrink purchasing power as prices of goods and services increase. Higher prices can then influence the Federal Reserve’s interest rate policy, affecting the cost of borrowing for lending products like mortgages.

 

Homebuyers looking for a home loan and homeowners who want to refinance a mortgage need to know that mortgage rates may rise as inflation increases. Therefore, understanding the difference between the inflation rate, interest rates, and what affects mortgage rates matters for all home finance consumers.

______________________

SPONSORED: Find a Qualified Financial Advisor

1. Finding a qualified financial advisor doesn't have to be hard. SmartAsset's free tool matches you with up to 3 fiduciary financial advisors in your area in 5 minutes.

2. Each advisor has been vetted by SmartAsset and is held to a fiduciary standard to act in your best interests. If you're ready to be matched with local advisors that can help you achieve your financial goals get started now.

______________________

 

 

 

 

Related: How to afford a down payment on your first home

Inflation Rate vs Interest Rates

Inflation is a general increase in the overall price of goods and services over time.

 

The Federal Reserve, the central bank of the United States, tracks inflation rates and inflation trends using several key metrics, including the Consumer Price Index (CPI), to determine how to direct monetary policy. A target inflation rate of 2% is considered ideal for maintaining a stable economic environment over the long run.

 

When inflation is on the rise and the economy is in danger of overheating, the Federal Reserve may raise interest rates to cool things down.

 

Interest rates reflect the cost of using someone else’s money. Lenders charge interest to borrowers who take out loans and lines of credit as a premium for the right to use the lender’s money.

 

Higher rates can make borrowing more expensive while also providing more interest to savers. People borrowing less and saving more can have a cooling effect on the economy.

 

When the economy is slowing down too much, on the other hand, the Fed can lower interest rates to encourage borrowing and spending.

 

Recommended: Federal Reserve Interest Rates, Explained

What Affects Mortgage Rates?

Inflation rates don’t have a direct impact on mortgage rates. But there can be indirect effects because of how inflation influences the economy and the Federal Reserve’s monetary policy decisions. Again, this relationship between inflation and mortgage rates is related to how the Federal Reserve adjusts interest rates to cool off or jump-start the economy.

 

The Federal Reserve does not set mortgage rates, however. Instead, the central bank sets the federal funds rate target, the interest rate that banks lend money to one another overnight. As the Fed increases this short-term interest rate, it often pushes up long-term interest rates for U.S. Treasuries. Fixed-rate mortgages are tied to the 10-year U.S. Treasury Note yield, which are government-issued bonds that mature in a decade. When the 10-year Treasury yield increases, the 30-year mortgage rate tends to do the same.

 

Recommended: Understanding the Different Types of Mortgage Loans

 

So, in terms of what affects mortgage rates, movement in the 10-year Treasury yield is the short answer. Higher yields can mean higher rates, while lower yields can lead to lower rates. But overall, inflation rates, interest rates, and the economic environment can work together to sway mortgage rates at any given time.

 

A simple way to see the relationship between inflation rates and mortgage rates is to look at how they’ve trended historically. If you track the average 30-year mortgage rate and the annual inflation rate since 1971, you’ll see that they often move in tandem.

 

They don’t always move perfectly in sync, but it’s typical to see rising mortgage rates paired with rising inflation rates.

Inflation Trends for 2022 and Beyond

In March 2022, the U.S. inflation rate hit 8.5%, as measured by the Consumer Price Index. This increase represents the largest 12-month increase since 1981 and moving well beyond the Federal Reserve’s 2% target inflation rate.

 

While prices for consumer goods and services were up across the board, the most significant increases were in the energy, shelter, and food categories.

 

Rising inflation rates in 2022 are thought to be driven by a combination of things, including:

  • Increased demand for goods and services
  • Shortages in the supply of goods and services
  • Higher commodity prices due to geopolitical conflicts

The coronavirus pandemic saw many people cut back on spending in 2020, leading to a surplus of savings. In addition to government stimulus, these savings created a pent-up demand for purchases once the economy got back on track. However, the supply chains have not been able to catch up to demand.

 

Supply chain disruptions and worker shortages are making it difficult for companies to meet consumer needs. This has resulted in rapidly rising inflation to levels not seen in decades.

 

In March 2022, the Fed started to raise interest rates to tame inflation and will likely continue to raise interest rates throughout the year. Many analysts believe that inflation is peaking and will steadily decline throughout 2022. However, there is still a lot of uncertainty surrounding the economy that makes forecasting price trends difficult.

 

Recommended: 7 Factors that Cause Inflation

Is Now a Good Time for a Mortgage or Refi?

There’s a link between inflation rates and mortgage rates. But what does all of this mean for homebuyers or homeowners?

Rising inflation and higher interest rates have caused mortgage rates to spike at the fastest pace in decades, though mortgage rates are still near historic lows. As the Fed continues to pursue interest rate hikes, it could lead to even higher mortgage rates. It simply means that if you’re interested in buying a home, it could make sense to do so sooner rather than later.

 

Buying a home now could help you lock in a better deal on a loan and get a reasonable mortgage rate, especially as home values increase.

 

The higher home values go, the more important a low-interest rate becomes, as the rate can directly affect how much home you can afford.

 

The same is true if you already own a home and are considering refinancing an existing mortgage. However, when refinancing a mortgage, the math gets a bit trickier. You might need to determine your break-even point: when the money you save on interest payments matches what you spend on closing costs for a refinanced mortgage (a refi).

 

To find the break-even point on a refi, divide the total loan costs by the monthly savings. If refinancing fees total $3,000 and you’ll save $250 a month, that’s 3,000 divided by 250, or 12. That means it’ll take 12 months to recoup the cost of refinancing.

 

If you refinance to a shorter-term mortgage, your savings can multiply beyond the break-even point.

 

If your current mortgage rate is above refinancing rates, it could make sense to shop around for refinancing options.

Keep in mind, of course, that the actual rate you pay for a purchase loan or refinance loan can also depend on things like your credit score, income, and debt-to-income ratio.

The Takeaway

Inflation appears to be here to stay, at least for the near term. Buying a home or refinancing when mortgage rates are lower could add up to a substantial cost difference over the life of your loan. From a savings perspective, it’s essential to understand what affects mortgage rates and the relationship between the inflation rate and interest rates.

 

Learn More:

This article originally appeared on SoFi.com and was syndicated by MediaFeed.org.

 

SoFi Mortgages
Terms, conditions, and state restrictions apply. Not all products are available in all states. See SoFi.com/eligibility for more information.
SoFi Loan Products
SoFi loans are originated by SoFi Bank, N.A., NMLS #696891  Opens A New Window.(Member FDIC), and by SoFi Lending Corp. NMLS #1121636  Opens A New Window., a lender licensed by the Department of Financial Protection and Innovation under the California Financing Law (License # 6054612) and by other states. For additional product-specific legal and licensing information, see SoFi.com/legal.
External Websites: The information and analysis provided through hyperlinks to third-party websites, while believed to be accurate, cannot be guaranteed by SoFi. Links are provided for informational purposes and should not be viewed as an endorsement.

More from MediaFeed:

These states have been hit hardest by rising foreclosures

 

The number of U.S. properties with foreclosure filings in February was 25,833, according to ATTOM Data Solutions. This is up 129% from February last year when foreclosure activity remained low due to the pandemic-related moratorium on foreclosures. The Biden administration’s final extension of the moratorium on foreclosures ended July 31, 2021. The extension of the evictions moratorium for foreclosed borrowers ended September 30, 2021.

 

It is also worth noting that foreclosure filings increased by over 11% from January to February. This rise follows the roughly 29% increase in foreclosure filings that occurred from December 2021 to January 2022. The researchers at ATTOM report that this month-to-month, double-digit increase is in line with expectations and will likely continue for at least the next six months.

 

After two years of historically low foreclosure numbers due to government and industry programs designed to protect homeowners financially impacted by the pandemic, these increases signify the gradual return to normal levels of foreclosure activity.

 

February is now the eighth consecutive month showing an annual increase in foreclosure activity. According to ATTOM, year-over-year foreclosure increases will likely continue for the rest of 2022; however, they still expect foreclosures to stay below historic levels through the end of the year. Read on for the foreclosure rates in February 2022 – plus the five counties with the highest rates within those states.

 

DepositPhotos.com

 

As just noted, foreclosures are up from last month, and up even more significantly compared to last year. Read on for February foreclosure rates for all 50 states — plus the District of Columbia — beginning with the state that had the lowest rate of foreclosure filings per housing unit.

 

 

DepositPhotos.com

 

Ranking in population between Alaska and Vermont, the country’s 48th and 49th least populated states, Washington, D.C. had 19 foreclosures in February. With a total of 315,176 housing units, Washington, D.C.’s foreclosure rate was one in every 16,588 households, putting it in between the states of Montana (#44) and Kansas (#43).

 

 

DepositPhotos.com

 

South Dakota ranked 50th with five homes going into foreclosure. Having 388,569 total housing units, the fifth least populated state had a foreclosure rate of one in every 77,714 households. The most foreclosures per housing unit were in counties (from highest to lowest): Walworth, Butte, Lincoln, Pennington, and Minnehaha.

 

 

RiverNorthPhotography

 

In February, North Dakota’s foreclosure rate was one in every 37,306 homes. That puts the fourth least populated state – with a total of 373,063 housing units, of which 10 were in foreclosure – in 49th place. The counties with the most foreclosures per housing unit were (from highest to lowest): Nelson, Barnes, Ward, Cass, and Burleigh.

 

 

sequential5

 

Alaska saw 10 foreclosures, making the foreclosure rate one in every 31,467 homes. That caused the third least populated state, with a total of 314,670 housing units, to take the 48th spot. With only three counties seeing foreclosures, the counties that had the most foreclosures per housing unit were (from highest to lowest): Kenai Peninsula, Matanuska-Susitna, and Anchorage.

 

 

Chilkoot

 

The 38th most populated state, West Virginia, ranked 47th. It has 892,182 homes, of which 33 went into foreclosure. That means the foreclosure rate was one in every 27,036 homes. The counties with the most foreclosures per housing unit were (from highest to lowest): Grant, Wayne, Hancock, Marshall, and Lewis.

 

 

DepositPhotos.com

 

In 49th place for population, Vermont claimed the 46th spot for foreclosure rate. Of Vermont’s 334,999 housing units, 13 homes went into foreclosure for a rate of one in every 25,769 households. The counties with the most foreclosures per housing unit were (from highest to lowest): Windham, Bennington, Rutland, Washington, and Addison.

 

 

DenisTangneyJr

 

The 27th most populated state ranked 45th for highest foreclosure rate. Of Oregon’s 1,768,901 homes, 73 went into foreclosure, making for a foreclosure rate of one in every 24,232 homes. The counties with the most foreclosures per housing unit were (from highest to lowest): Douglas, Clackamas, Washington, Coos, and Klamath.

 

 

HaizhanZheng

 

The 44th most populated state also ranked 44th for foreclosure rate. This is the same ranking the state held in January. With 26 foreclosures out of 510,180 housing units, its foreclosure rate was one in every 19,622 homes. The counties with the most foreclosures per housing unit were (from highest to lowest): Blaine, Richland, Custer, Fergus, and Yellowstone.

 

 

YinYang

 

Kansas took the 43rd spot in February. With 1,273,297 homes and a total of 78 housing units going into foreclosure, the 35th most-populated state’s foreclosure rate was one in every 16,324 households. The counties with the most foreclosures per housing unit were (from highest to lowest): Geary, Seward, Sherman, Cowley, and Brown.

 

 

Michael Pham

 

With a total 1,983,949 housing units, Kentucky saw 134 homes go into foreclosure, and held the same ranking from January. That put the foreclosure rate for the 26th most populated state at one in every 14,806 households. The counties with the most foreclosures per housing unit were (from highest to lowest): Trimble, Hardin, Boyd, Union, and Greenup.

 

 

Thomas Kelley

 

Ranked 13th for most populated state, Washington came in 41st place for highest foreclosure rate. It has 3,106,528 housing units, of which 244 went into foreclosure, making the state’s foreclosure rate one in every 12,732 households. The counties with the most foreclosures per housing unit were (from highest to lowest): Asotin, Pacific, Snohomish, Douglas, and Grays Harbor.

 

republica

 

In Tennessee, the 16th most populated state, there were 249 foreclosures out of 2,963,486 housing units. That put the foreclosure rate at one in every 11,902 homes. The counties with the most foreclosures per housing unit were (from highest to lowest): Moore, Rhea, Cocke, Sequatchie, and Carroll.

 

 

Swarmcatcher

 

The 39th most populated state, Idaho had 62 homes go into foreclosure. With 723,594 total housing units, the state’s foreclosure rate was one in every 11,671 households. The counties with the most foreclosures per housing unit were (from highest to lowest): Payette, Franklin, Teton, Bonneville, and Washington.

 

 

knowlesgallery

 

The 41st most populated state, New Hampshire ranked 38th for highest foreclosure rate. Of 634,726 homes, 56 went into foreclosure, making for a foreclosure rate of one in every 11,334 households. The counties with the most foreclosures per housing unit were (from highest to lowest): Merrimack, Cheshire, Strafford, Rockingham, and Belknap.

 

 

DenisTangneyJr

 

Ranked 22nd for most populated state, Minnesota took the 37th spot for highest foreclosure rate. It has 2,438,203 housing units, of which 219 went into foreclosure, making the state’s foreclosure rate one in every 11,133 households. The counties with the most foreclosures per housing unit were (from highest to lowest): Wright, Rock, Washington, Pipestone, and Murray.

 

 

JoeChristensen

 

Ranked the least populated in the country, Wyoming claimed the 36th spot for highest foreclosure rate. With 276,846 housing units, of which 26 went into foreclosure, the state’s foreclosure rate was one in every 10,648 households. The counties with the most foreclosures per housing unit were (from highest to lowest): Campbell, Washakie, Johnson, Big Horn, and Converse.

 

 

dschreiber29

 

Ranked 32nd for most populated state, Arkansas took the 35th spot for highest foreclosure rate. It has 1,370,281 housing units, of which 136 went into foreclosure, making the state’s latest foreclosure rate one in every 10,076 households. The counties with the most foreclosures per housing unit were (from highest to lowest): Cleveland, Miller, Fulton, Union, and Lonoke.

 

 

Rdlamkin

 

In Mississippi, the 33rd most populated state, there were 132 foreclosures out of 1,322,808 housing units. That put the foreclosure rate at one in every 10,021 homes. The counties with the most foreclosures per housing unit were (from highest to lowest): Lawrence, Coahoma, De Soto, Franklin, and Holmes.

 

 

stevegeer

 

Ranked 25th for population, Louisiana took the 33rd spot, with 219 homes out of a total 2,059,918 going into foreclosure. That means Louisiana had a foreclosure rate of one in every 9,406 households. The counties with the most foreclosures per housing unit were (from highest to lowest): Saint Charles, Franklin, Saint Landry, Tangipahoa, and Livingston.

 

 

DenisTangneyJr

 

The 21st most populated state ranked 32nd for highest foreclosure rate. Of Colorado’s 2,386,475 housing units, 254 went into foreclosure, making for a foreclosure rate of one in every 9,396 homes. The counties with the most foreclosures per housing unit were (from highest to lowest): Jackson, Delta, Phillips, Morgan, and Archuleta.

 

 

Jacob Boomsma / istockphoto

 

The 12th most populated state ranked 31st for highest foreclosure rate, with 387 homes going into foreclosure. Having 3,514,032 total housing units, the state saw a foreclosure rate of one in every 9,080 households. The counties with the most foreclosures per housing unit were (from highest to lowest): Norton City, Sussex, Martinsville City, Surry, and Mathews.

 

 

DenisTangneyJr

 

The eighth least populated state took the 30th spot for highest foreclosure rate. A total of 53 homes went into foreclosure out of 468,335 total housing units, making the foreclosure rate for the Ocean State one in every 8,837 households. Only four counties in the state had foreclosures.They were (from highest to lowest): Kent, Providence, Bristol, and Newport.

 

 

danlogan

 

With 1,015 out of a total 8,322,722 housing units going into foreclosure, the fourth most populated state took the 29th spot. New York’s foreclosure rate was one in every 8,200 households in February. The counties with the most foreclosures per housing unit were (from highest to lowest): Suffolk, Cattaraugus, Ulster, Washington, and Greene.

 

 

Eloi_Omella

 

With 343 foreclosures out of 2,694,527 total housing units, Wisconsin, the 20th most populated state, had a foreclosure rate of one in every 7,856 households. The counties with the most foreclosures per housing unit were (from highest to lowest): Langlade, Washburn, Waupaca, Walworth, and Dodge.

 

 

FierceAbin

 

The 15th most populated state ranked 27th for highest foreclosure rate. Of Massachusetts’ 2,897,259 housing units, 374 went into foreclosure, making for a foreclosure rate of one in every 7,747 homes. The counties with the most foreclosures per housing unit were (from highest to lowest): Hampden, Bristol, Plymouth, Berkshire, and Worcester.

 

 

Rolf_52

 

Oklahoma claimed the 26th spot. With housing units totaling 1,731,632, the 28th most populated state saw 234 homes go into foreclosure at a rate of one in every 7,400 homes. The counties with the most foreclosures per housing unit were (from highest to lowest): Kingfisher, Jackson, Craig, Dewey, and Muskogee.

 

 

DepositPhotos.com

 

The 40th most populated state, Hawaii came in 25th for highest foreclosure rate. Of 542,674 homes, 75 went into foreclosure, making for a foreclosure rate of one in every 7,236 households. Only four counties in the state had foreclosures. They were (from highest to lowest): Hawaii, Honolulu, Kauai, and Maui.

 

 

Art Wager

 

Ranked 24th for most populated, Alabama came in 24th for highest foreclosure rate. Of its 2,255,026 homes, 321 went into foreclosure, making for a foreclosure rate of one in every 7,025 homes. The counties with the most foreclosures per housing unit were (from highest to lowest): Escambia, Henry, Autauga, Russell, and Conecuh.

 

 

James Deitsch

 

The Lone Star State saw 1,588 foreclosures in February. With a foreclosure rate of one in every 6,887 households, this put the second most populous state with 10,937,026 housing units into the 23rd spot. The counties with the most foreclosures per housing unit were (from highest to lowest): Real, Cochran, Atascosa, Mcculloch, and Wilson.

 

 

DenisTangneyJr

 

The 18th most populated state, Missouri came in 22nd for highest rate of foreclosures. Of its 2,790,397 homes, 411 went into foreclosure, making for a foreclosure rate of one in every 6,789 homes. The counties with the most foreclosures per housing unit were (from highest to lowest): Shelby, Dekalb, Audrain, Clay, and Perry.

 

 

eyecrave

 

The 36th most populated state took the 21st spot for highest foreclosure rate. This is the same ranking the state held in January. Of its 937,920 homes, 141 went into foreclosure, making for a foreclosure rate of one in every 6,652 homes. The counties with the most foreclosures per housing unit were (from highest to lowest): Sierra, Otero, Valencia, Eddy, and San Juan.

 

 

 

Davel5957

 

Pennsylvania, the fifth most populated state, had a total of 876 housing units out of 5,693,314 homes go into foreclosure, making the state’s foreclosure rate one in every 6,499 households. The counties with the most foreclosures per housing unit were (from highest to lowest): Philadelphia, Venango, Bucks, Delaware, and Schuylkill.

 

 

AppalachianViews

 

Ranked 37th for population, Nebraska claimed the 19th spot with a foreclosure rate of one in every 6,345 homes. With a total 837,476 housing units, the state had 132 foreclosure filings. The counties with the most foreclosures per housing unit were (from highest to lowest): Hamilton, Garden, Clay, Webster, and Platte.

 

 

marekuliasz

 

The ninth most populated state took 18th place for highest foreclosure rate. Out of 4,627,089 homes, 768 went into foreclosure. That put the Tar Heel State’s foreclosure rate at one in every 6,025 homes. The counties with the most foreclosures per housing unit were (from highest to lowest): Jones, Scotland, Gates, Tyrrell, and Onslow.

 

 

” Darwin Brandis”

 

With 236 housing units out of 1,397,087 homes going into foreclosure, the 30th most populated state’s foreclosure rate was one in every 5,920 homes. The counties with the most foreclosures per housing unit were (from highest to lowest): Tama, Mills, Jasper, Obrien, and Van Buren.

 

 

JoeChristensen

 

Utah placed 16th in February for highest foreclosure rate. Of the Beehive State’s 1,087,112 housing units, 184 homes went into foreclosure, making the 31st most-populated state’s foreclosure rate one in every 5,908 households. The counties with the most foreclosures per housing unit were (from highest to lowest): Juab, Tooele, Beaver, Carbon, and Cache.

 

 

AndreyKrav

 

In Arizona, the 14th most populated state, there were 516 foreclosures out of 3,003,286 housing units. That put the foreclosure rate at one in every 5,820 homes. The counties with the most foreclosures per housing unit were (from highest to lowest): Gila, Pinal, Cochise, Mohave, and Santa Cruz.

 

 

wanderluster

 

The eighth most populated state, Georgia ranked 14th for highest foreclosure rate. Of its 4,283,477 homes, 762 were foreclosed on. That put the state’s foreclosure rate at one in every 5,621 households. The counties with the most foreclosures per housing unit were (from highest to lowest): Crawford, Terrell, Elbert, Worth, and Pierce.

 

 

SeanPavonePhoto

 

Ranked as the ninth least populated state, Maine placed 13th for highest foreclosure rate. This is the same ranking the state held in January. With a total of 742,788 housing units, the Pine Tree State saw 136 foreclosures for a foreclosure rate of one in every 5,462 homes. The counties with the most foreclosures per housing unit were (from highest to lowest): Androscoggin, Washington, Aroostook, Penobscot, and Piscataquis.

 

 

DepositPhotos.com

 

With 281 of its 1,516,629 homes going into foreclosure, Connecticut had a foreclosure rate of one in every 5,397 households. In the 29th most populated state, the counties that had the most foreclosures per housing unit were (from highest to lowest): Windham, Tolland, Middlesex, New Haven, and Hartford.

 

 

traveler1116

 

Ranking 10th for population, Michigan took the 11th spot with a foreclosure rate of one in every 5,363 homes. With a total of 4,596,198 housing units, the state had 857 foreclosure filings. The counties with the most foreclosures per housing unit were (from highest to lowest): Macomb, Genesee, Wayne, Kalkaska, and Shiawassee.

 

haveseen

 

The most populated state ranked 10th for highest foreclosure rate. Of its 14,175,976 housing units, 2,927 went into foreclosure, making California’s foreclosure rate one in every 4,843 households. The counties with the most foreclosures per housing unit were (from highest to lowest): Alpine, Yuba, Trinity, Shasta, and Lake.

 

 

mlauffen

 

The third most populated state in the country has a total of 9,448,159 housing units, of which 2,833 went into foreclosure. That’s a foreclosure rate of one in every 3,335 homes. The counties with the most foreclosures per housing unit were (from highest to lowest): Baker, Osceola, Polk, Duval, Suwannee.

 

 

Elisa.rolle

 

The 17th largest state by population, Indiana took the eighth spot with a foreclosure rate of one in every 3,262 homes. Of its 2,886,548 homes, 885 homes were foreclosed on in February. The counties with the most foreclosures per housing unit were (from highest to lowest): Sullivan, Lake, La Porte, Madison, and Vanderburgh.

 

 

f11photo

 

The sixth least populated state in the country, Delaware ranked seventh for highest foreclosure rate. This is the same ranking the state held in January. With one in every 3,257 homes going into foreclosure and a total 433,195 housing units, Delaware saw a total of 133 foreclosure filings. With only three counties in the state, the most foreclosures per housing unit were in (from highest to lowest): Kent, New Castle, and Sussex.

 

 

mdgmorris

 

Ranked 19th for most populated state, Maryland took sixth place for highest foreclosure rate. With a total of 2,448,422 housing units, of which 779 housing units went into foreclosure, the state’s foreclosure rate was one in every 3,143 households. The counties with the most foreclosures per housing unit were (from highest to lowest): Caroline, Prince George’s County, Dorchester, Washington, and Baltimore City.

 

 

James_Lane

 

Ranking 34th in population, Nevada took the fifth spot for foreclosure rate. With one in every 3,112 homes going into foreclosure and a total of 1,250,893 housing units, the state had 402 foreclosure filings. The counties with the most foreclosures per housing unit were (from highest to lowest): Clark, Lander, Mineral, Nye, and Washoe.

 

 

AlizadaStudios

 

With one in every 3,001 homes going into foreclosure, South Carolina took the fourth spot. Ranked 23rd for population, South Carolina has 2,286,826 housing units and saw 762 foreclosure filings. The counties with the most foreclosures per housing unit were (from highest to lowest): Dorchester, Richland, Lexington, Kershaw, and Orangeburg.

 

 

SeanPavonePhoto

 

Ohio claimed the third spot in February, with a foreclosure rate of one in every 2,801 homes. With a total of 5,202,304 housing units, the seventh most populated state had a total of 1,857 filings. The counties with the most foreclosures per housing unit were (from highest to lowest): Cuyahoga, Preble, Lake, Marion, and Trumbull.

 

 

dypics

 

Illinois remained in the top three, taking second place once again. Of its 5,360,315 homes, 2,126 went into foreclosure, making the sixth most populated state’s foreclosure rate one in every 2,521. The counties with the most foreclosures per housing unit were (from highest to lowest): Edgar, Livingston, Will, De Kalb, and Cook.

 

 

ibsky

 

With a foreclosure rate of one in every 2,510 homes, New Jersey took the top spot for a second month in a row. The 11th most populated state has 3,616,614 housing units, of which, 1,441 went into foreclosure. The counties with the most foreclosures per housing unit were (from highest to lowest): Salem, Ocean, Burlington, Warren, and Essex.

 

 

aimintang

 

Of all 50 states, California had the most foreclosure filings (2,927); South Dakota had the least (5). As for the states with the highest foreclosure rates, New Jersey, Illinois, and Ohio took the top three spots, respectively.

 

The Great Lakes region and the Mideast region tied for the largest presence among the 10 states that ranked the highest for foreclosure rates. The states in the Great Lakes region were (from highest to lowest): Illinois, Ohio, and Indiana. The states in the Mideast region were (from highest to lowest): New Jersey, Maryland, and Delaware.

 

The Plains region and the West region tied for the regions with the largest presence among the 10 states that ranked the lowest for foreclosure rates. In the Plains, these states were (from highest to lowest): Kansas, North Dakota, and South Dakota. In the West, these states were (from highest to lowest): Washington, Oregon, and Alaska.

 

This article originally appeared on SoFi.comand was syndicated by MediaFeed.org.

 

SoFi Loan Products

SoFi loans are originated by SoFi Lending Corp. or an affiliate (dba SoFi), a lender licensed by the Department of Financial Protection and Innovation under the California Financing Law, license # 6054612; NMLS # 1121636. For additional product-specific legal and licensing information, see SoFi.com/legal.


SoFi Home Loans
Terms, conditions, and state restrictions apply. SoFi Home Loans are not available in all states. See SoFi.com/eligibility for more information.


External Websites: The information and analysis provided through hyperlinks to third party websites, while believed to be accurate, cannot be guaranteed by SoFi. Links are provided for informational purposes and should not be viewed as an endorsement.

 

zimmytws / istockphoto

 

 

Zinkevych/istockphoto

 

Featured Image Credit: stefanamer / istockphoto.

AlertMe