An Analysis of Foreclosure Activity in the United States

Abstract

This paper has analyzed the foreclosure rates of US counties over an 18 month period beginning in January 2007 and ending in June 2008. Population, home and loan attributes of counties all had a statistically significant bearing on foreclosure rates. Specifically, subprime loans, the employment rate and housing price declines were correlated with higher foreclosure rates. Racial and ethnic differences did have a negative effect on foreclosure rates but were much smaller in magnitude.