🚨 Foreclosures Jump 51%: Here’s Where to Look
Bank-owned homes are selling below value
Foreclosure rates just reached their highest level in nearly seven years, and bank-owned homes are selling 27.2% below estimated value.
That opportunity is widening as new home inventory reaches levels unseen since the aftermath of the 2008 financial crisis, with builders cutting prices to move unsold homes.
Passive Cash-Flowing Properties
Buy shares of investment properties, earn rental income & appreciation for anywhere from $100 to $20k — let Arrived take care of the rest.
At the same time, insurance premiums have doubled in Colorado since 2020, crushing cash flow as foreclosures jump 51%.
The pressure has reached commercial real estate too, where New York’s largest owners are selling minority stakes and teaming up as traditional equity dries up.
More supply is hitting the market while the cost of holding it keeps climbing.
Here’s where excess supply, rising expenses, and scarce capital are creating the next wave of discounted deals:
🏚️ Bank-Owned Homes Sell 27% Below Value
🏗️ New Home Inventory Hits 2008 Levels
🏙️ NYC Landlords Sell Stakes to Survive
🚪 Sellers Outnumber Buyers at Record Pace
📊 Colorado Insurance Premiums Double
Video of the Week: “Crash Pricing” Setting In As Distressed Home Sellers Capitulate
Chart of the Week: States Most Delinquent on Debt Payments
Podcast of the Week: Housing Distress Is About To Go National
REO Discounts Widen as Foreclosures Rise
Bank-owned homes are selling 27.2% below estimated value, and national foreclosures just hit their highest level in nearly seven years, per Realtor.com and MBA data. The steepest concentrations are showing up in Lake Charles, Tuscaloosa, Dayton, Davenport, and Montgomery.
Builder Inventory Creates Negotiating Power
Builders are blinking first. New-construction inventory has climbed to levels last seen in the aftermath of the 2008 crash, and 35% of builders cut prices in June while 62% layered on incentives to move unsold homes.
NYC Developers Trade Ownership for Liquidity
New York’s biggest owners are giving up full control to keep deals moving. With institutional equity scarce, players like SL Green and RXR are selling minority stakes and forming joint ventures to recapitalize major projects instead of funding them solo.
Housing Supply Builds Against Weak Demand
Home sellers now outnumber buyers by the widest margin Redfin has recorded since it started tracking the metric in 2013. Existing single-family inventory sits at decade highs, condo inventory at a twelve-year high, and rents are softening as affordability stays tight. One analyst tracking ATTOM data flagged 2025’s foreclosure rate as a six-year high and expects further pressure into Q4, a view worth watching rather than banking on.
Insurance Costs Push Colorado Into Distress
Colorado homeowners insurance has more than doubled since 2020, and foreclosures in the state climbed 51% year over year alongside it. Rising taxes and insurance premiums are emerging as the biggest drag on landlord cash flow nationwide.
Video of the week