U.S. Commercial Foreclosures Decreased in June
Commercial foreclosures decreased 14% from last month but increased 48% from last year. States with the most commercial foreclosures in June included Florida and California.
IRVINE, Calif. – Commercial foreclosures across the United States have continually increased over the years from a low of 141 in May 2020 to the current figure of 647 in June 2024, the real estate data company ATTOM found.
Since January 2014, ATTOM has been analyzing data, a period marked by the nation’s emergence from economic uncertainty, with commercial foreclosures numbering 740 nationwide. Over the following years, ATTOM monitored fluctuations, observing a peak in October 2014 with 889 commercial foreclosures, indicating ongoing market corrections.
Yet, the path wasn’t always upward. Despite challenges like the COVID-19 pandemic and evolving economic policies, the market demonstrated remarkable adaptability. Initial pandemic-related foreclosures were followed by a stabilization as businesses adjusted to new realities.
In June 2020, the U.S. observed the onset of a consistent upward trend in commercial foreclosures following an almost seven-year phase of continuous declines. June 2020 marked the first rise, from a notable low of 141 in May 2020, that persisted with steady increases through June 2024. By June 2024, commercial foreclosures had increased to 647, reflecting a 219% year-over-year increase compared to the 2020 low.
State-by-state commercial foreclosure review
In June 2024, California had the highest number of commercial foreclosures for the month, at 214. This was a 10% decrease from last month but a 289% increase from last year.
This marks California’s first monthly decline following a notable rise in commercial foreclosures over the past seven months, which began in November 2023. During this period, cases exceeded 100 and continued to escalate.
Texas, New York, New Jersey and Florida, following California, recorded the highest numbers of commercial foreclosures in June 2024.
While these states experienced decreases this quarter, they exhibited significant fluctuations over the past decade, with each state showing a continuous overall increase.
- Texas had a total of 70 commercial foreclosures in June 2024, a 1% decrease from last month and a 100% increase from a year ago.
- New York saw an 8% decrease from last month and a 21% decrease from last year.
- New Jersey saw a 35% decrease from last month and a 34% increase from last year.
- Florida saw a 45% decrease from last month and a 10% increase from last year.
Report Methodology
ATTOM’s U.S. Commercial Foreclosure Report provides a count of the total number of commercial properties with at least one foreclosure filing entered into the ATTOM Data Warehouse during the month. ATTOM’s report incorporates documents filed in all three phases of foreclosure: Default — Notice of Default (NOD) and Lis Pendens (LIS); Auction — Notice of Trustee Sale and Notice of Foreclosure Sale (NTS and NFS); and Real Estate Owned, or REO properties (that have been foreclosed on and repurchased by a bank).
© 2024 Florida Realtors®